Delawaredave
Recycles dryer sheets
- Joined
- Apr 9, 2005
- Messages
- 184
Maybe this is a dumb or strange (or both) question.
My target is 60 stocks / 40 bonds & other. Last pile of years, the stock portion has outgrown the non-stock portion.
We're both still working (sorry for the "bad word"....) and we LBYM, so we have decent sized yearly savings contributions.
So to maintain the 60/40 balance, I've been putting the additional savings contributions in the non-stock category each year.
Turns out the savings contributions to the non-stock side coincidentally maintain the 60/40 balance.
Is this an OK way of keeping balance ? I'm not selling stocks - rather adding to other side (but I am doing "true" rebalancing within stock side - selling emerging markets, buying in down sectors, etc).
Mathemetically everything works, I'm just wondering if I'm "missing something"....
Thanks for your help !
My target is 60 stocks / 40 bonds & other. Last pile of years, the stock portion has outgrown the non-stock portion.
We're both still working (sorry for the "bad word"....) and we LBYM, so we have decent sized yearly savings contributions.
So to maintain the 60/40 balance, I've been putting the additional savings contributions in the non-stock category each year.
Turns out the savings contributions to the non-stock side coincidentally maintain the 60/40 balance.
Is this an OK way of keeping balance ? I'm not selling stocks - rather adding to other side (but I am doing "true" rebalancing within stock side - selling emerging markets, buying in down sectors, etc).
Mathemetically everything works, I'm just wondering if I'm "missing something"....
Thanks for your help !