Rebalancing means that we restore the percentage share that certain industries, geographies or currencies make up of your overall portfolio once certain stocks change in value. This way we make sure that your portfolio stays diversified and moves with the market over the long term.
Because of constant market movement, Inyova performs a periodic rebalancing of your portfolio to restore the correct distribution of your assets. We rebalance your portfolio in the following situations:
- We monitor the weights of your portfolio in regards to the sectors, countries, currencies and companies and rebalance it when needed. As an example, we would rebalance your portfolio when the weight of a single company exceeds 7% of your portfolio.
- In all cases, we rebalance your portfolio once a year.
In addition to the rebalancing we actively monitor each company to ensure alignment with your values and compliance with our financial standards.