Portfolio Rebalancing: When, Why, and How to Do It Right

Over time, some investments grow faster than others and your portfolio drifts from its target allocation. Rebalancing restores your intended risk level.

Portfolio rebalancing is the discipline of selling assets that have grown above their target weight and buying those that have fallen below it. Without rebalancing, a portfolio that started as 60% stocks / 30% bonds / 10% crypto can drift to 80% stocks / 15% bonds / 15% crypto after a bull run — making you more exposed than intended.

When to Rebalance

How to Rebalance Without Triggering Tax

Rebalancing Crypto Specifically

Crypto is the most volatile asset class and drifts most dramatically. A 10% Bitcoin allocation can become 30% after a strong bull run. Rebalancing back to target locks in gains systematically. Steyble makes this easy: swap BTC profits into USDC yield or ETH staking directly from your portfolio view.