How to Rebalance using a Portfolio Recipe

 

Additional resources for rebalancing are available when you sign up for the Free Subscription or Investor Subscription.

 

1. Log in at go.recipeinvesting.com/login to get new Portfolio Recipe allocation that you will use for the upcoming month.

 

2. Find your Portfolio Recipe's ingredients for the upcoming month 

  • After you have logged in to go.recipeinvesting.com, go to the Portfolio Recipe Summary Page, and click the name of your Portfolio Recipe in the "Recipe Name" column to open the detail page.
  • Scroll down to the "How to Invest" section and find "Recipe ingredients (for FolioInvesting.com)"
  • This will show the tickers for the ETF ingredients used in this Portfolio Recipe. You will also see the percentage allocation for each ETF. 
  • Note that these tickers and numbers are formatted in two ways: 
    • Formatted for input into the FolioInvesting.com order page. Here an example of how a recipe's ingredients may appear:
    • EEM,20.00,EFA,30.00,GLD,20.00,IWM,30.00
    • Formatted for you to read and use at any other brokerage. Here an example of how a recipe's ingredients may appear:
    • EEM=20.00%, EFA=30.00, GLD=20.00%, IWM=30.00%

 

3. Log in to your brokerage account and place the trades.

At FolioInvesting.com, you can rebalance with a few clicks. This will execute just the trades needed to re-align your holdings with the target holdings using the Portfolio Recipe. Full instructions are provided in a How-To Guide at go.recipeinvesting.com

 

At another brokerage, you can rebalance by calculating the number of shares of each portfolio ingredient to buy or sell. Then you can place each trades for each portfolio ingredient that has changed.