I agree with you on the rebalancing frequency part. It must be more frequent than 6 months. I’m wondering if we could just enter the momentum index based ETFs via lump sum mode once every 6 months and move out of it within 1-2 months once the momentum has played out. We save the transactional costs and burden of very frequent DIY tracking. 2-3% lower returns must be OK for the peace of mind. Anyway, the allocation to this strategy can’t be more than 10% in anyone’s portfolio. Spending time every week on buy, sell and rebalance for 10% of portfolio may be a huge opportunity cost. Your thoughts?
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