Why Portfolio Rebalancing Matters

In this video, financial advisor Matt D’Amico from Networth Advisors explains why portfolio rebalancing is such a crucial part of a strong retirement plan—especially in today’s fast-changing market environment.

He breaks down what rebalancing actually is, how drifting allocations can quietly increase your risk exposure, and why regularly adjusting your mix of stocks and bonds can help keep your retirement strategy aligned with your goals. Matt also shares how disciplined rebalancing allows you to “buy low and sell high,” and how it fits into your broader tax, income, and legacy planning.

If you’re preparing for retirement or already in it, this short video offers simple, practical insight into how rebalancing can preserve your wealth and keep your long-term plan on track.

Timestamp Overview:
0:03 – Introduction: Matt introduces portfolio rebalancing and why it matters for retirees
0:17 – What portfolio rebalancing is and how it keeps your investments aligned with your goals
0:28 – How different asset classes grow at different rates and throw off your allocation
0:35 – Risks of an unbalanced portfolio and the impact of today’s market environment
0:54 – Why staying passive can increase risk and how rebalancing helps protect your retirement estate
1:04 – Example: A 60/40 portfolio drifting to 70/30 after market growth
1:18 – How rebalancing restores balance and reduces vulnerability to market swings
1:30 – Rebalancing as a disciplined way to buy low and sell high
1:54 – How rebalancing fits into broader retirement planning: taxes, income, legacy
2:09 – Why professional guidance matters when timing, taxes, and personal factors come into play
2:24 – Reminder to review your portfolio and ensure it’s working for you
2:31 – Next Steps: Contact information for scheduling a meeting

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