The method
How it is worked out
Trade = (total incl. new money) × target weight − current holding
- drift
- Current weight − target weight, in percentage points
Portfolio Rebalancing Calculator
Enter current holdings and target weights and get the exact buys and sells to rebalance, with new money used first. The result updates as you type so you can compare scenarios quickly.
Keep in mind
What it leaves out
- TaxSelling in a taxable account may trigger gains; rebalance in sheltered accounts first.
- CostsSmall trades can cost more in fees than they fix.
- Bands vs calendarThreshold rebalancing trades less than a fixed schedule.
Use the calculator to compare scenarios rather than as a guaranteed forecast.
About the Portfolio Rebalancing Calculator
Enter what you hold and your target weights and get the exact buys and sells to get back on target, using new money first so you sell as little as possible.
How it works and an example to tryShow less
How to use the result
Total value including new money is multiplied by each target weight to give target amounts; the trade is target less current holding. Drift is measured in percentage points against your band. Buying is funded from new money before any selling.
Example to try
£62,000 equities, £18,000 bonds, £4,000 cash and £6,000 other against 60/30/5/5 with £2,000 new money: equities are 9 points over. Sell about £7,800 of equities, buy £9,600 of bonds, add to cash and other.
Put it to work
Try it on a real situation
Load an example
What moves the result most
Worked out from your figures above. Tap a row to try it.
Who uses it, and when
Long-term investors with a target allocation, anyone with a lump sum to add and people who have let winners run for years.
Mistakes worth avoiding
- Rebalancing on a rigid schedule and paying tax and fees to fix tiny drifts.
- Selling in a taxable account when a pension or ISA could be rebalanced instead.
- Forgetting to count new contributions as part of the fix.
Questions
What does the Portfolio Rebalancing Calculator do?
Enter current holdings and target weights and get the exact buys and sells to rebalance, with new money used first.
How should I use the result?
Total value including new money is multiplied by each target weight to give target amounts; the trade is target less current holding. Drift is measured in percentage points against your band. Buying is funded from new money before any selling.
Does TechBullion store the information I enter?
The core calculation or transformation runs in your browser. Normal website security and analytics may still record page-level events, but the tool does not need to create a public record from your inputs.
What mistakes do people make with a portfolio rebalancing calculator?
Rebalancing on a rigid schedule and paying tax and fees to fix tiny drifts. Selling in a taxable account when a pension or ISA could be rebalanced instead. Forgetting to count new contributions as part of the fix.
Is the result guaranteed?
No. Use the result as a practical check or planning aid and verify important decisions with the relevant primary source, provider or professional advice.
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Results are estimates based on the figures entered, for general information only, and not financial, investment, tax or legal advice. See our terms of use.