Finance & Money
Portfolio Rebalancing Calculator
Add new investable cash to current equity, bond, and cash values, calculate each target dollar amount, and display buys and sells without hiding the target-allocation control total.
Portfolio value after new cash-
Entered target allocation total-
Target equity value-
Target bond value-
Target cash value-
Equity buy or sell amount-
Bond buy or sell amount-
Cash allocation change-
Decision view
Current values, targets, and required trades
Current values, targets, and required tradesEquity, bonds, and cash each show an exact dollar target and buy-or-sell amount.
Exact scenario comparisonTarget equity allocation (%) changes while all other entered assumptions remain constant.
| Target equity allocation (%) | Portfolio value after new cash | Entered target allocation total | Target equity value | Target bond value | Target cash value | Equity buy or sell amount | Bond buy or sell amount | Cash allocation change |
|---|
How to use Portfolio Rebalancing Calculator
- Confirm all holdings use the same valuation date.
- Enter targets that total exactly 100%.
- Use new cash before creating taxable sales when appropriate.
Calculator guide
Understanding Portfolio Rebalancing Calculator
Portfolio rebalancing converts target percentages into exact dollar holdings and trades after accounting for new cash.
Calculation method
How the calculation works
Add new cash to the portfolio, calculate dollar targets for three asset classes, and show the exact buy-or-sell amount for each class. Sum current holdings and new cash, multiply the total by each target percentage, and subtract the current class value—plus new cash in the cash bucket—to obtain required trades.
Trade ticket
Turn an allocation policy into executable instructions
A sound rebalance moves from values to targets to trades in a controlled sequence.
Worked situations
Practical examples
- A positive trade means the class is below target and requires a purchase.
- A negative trade represents a sale or transfer out.
- New cash can reduce or eliminate the need to sell overweight assets.
Better inputs
Useful tips
- Set a material drift band before trading.
- Review tax lots and account restrictions.
- Round trades to permitted share or fund increments.
Before relying on the result
Limitations and common mistakes
- Taxes, spreads, commissions, settlement, minimum lots, wash-sale rules, and multi-account location are excluded.
- Only three broad classes are modeled.
- The calculator does not recommend target percentages.
Reference
Key terms
- Target value
- Portfolio after cash multiplied by the entered target percentage.
- Rebalancing trade
- Target value minus the relevant current class value.
- New cash
- Additional amount available for allocation before trades.
- Control total
- Sum of entered target percentages, expected to equal 100%.
Important note
Calculated from the entered values and stated financial terms. It is not a product quote, lending decision, tax filing, or investment recommendation.
Frequently asked questions
What does a negative trade mean?
The class is above its target dollar value and the model indicates a sale or transfer out.
Must targets total 100%?
Yes for a fully allocated three-class portfolio.
Are taxes included?
No.
Does the page decide when to rebalance?
No, it calculates trades for the entered targets and current values.