👉 The term "rebalanced" refers to a situation where all resources are in an equilibrium state, with no excess or deficit. It is often used in economics and finance to describe situations where economic variables like interest rates, inflation, or unemployment are not experiencing significant changes. In this context, rebalancing means moving towards a more stable or sustainable state of affairs.
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What is the definition of Rebalance? 🙋
👉 In finance, rebalancing is a process of adjusting portfolio weights to maintain or improve portfolio performance. It involves making adjustments in a portfolio's holdings over time, such as adding new assets or selling existing ones, to achieve this goal. This strategy can be used for a variety of reasons, including diversification, risk management, and achieving specific investment objectives.
