CCompound

Portfolio a alokace

Q2 2028 Portfolio Review: Focus on Allocation and Rebalancing

6 min readCompound

Key takeaways

Why quarterly reviews, not daily monitoring

An investor who watches their portfolio every day is exposed to noise. An investor who checks it once a year may overlook a systematic allocation drift. A quarterly review is the right compromise — frequent enough to prevent deviations from compounding, infrequent enough to eliminate emotional noise. The Q2 review also naturally aligns with the tax return deadline and the spring review.

Step 1: Measure your actual allocation

Start with a simple calculation. Write down the current value of each portfolio component and calculate the percentage share:

Compare the result with the target allocation in your investment plan. If you aim for 80/15/5 (equities/bonds/gold) and your actual allocation is 87/10/3, it's time to rebalance.

Step 2: Decide how to rebalance

Rebalancing has three paths, each with a different tax and transaction impact:

The most efficient rebalancing is through new contributions — you direct your regular investment into the underweight position without any selling and without a tax event.

Second option: reinvest dividends or distribution cash flows into the underweight position. Third option: sell the overweight position — only necessary if the deviation exceeds your tolerance and new contributions are insufficient. Remember the holding-period test and tax implications.

Step 3: Reassess strategy, not tactics

A Q2 review is not about finding a "better" ETF or reacting to last quarter's performance. It's a look at strategy: Has your investment horizon changed? Are you closer to the withdrawal phase? Has your income or expenditure changed? These questions are relevant to allocation — not which country performed best in Q1. For more on portfolio composition, see how to build your first portfolio.

What to avoid at the Q2 review

First: don't complicate the portfolio by adding new ETFs just because you read about a new theme. Second: don't over-interpret one quarter's results — a single quarterly move predicts nothing. Third: don't abandon your core strategy because of short-term volatility. The passive ETF approach is designed for decades, not quarters.

FAQ

How large a deviation from the target allocation requires rebalancing?

The general rule is that a deviation above 5 percentage points is a signal to act. Correct smaller deviations gradually through new contributions; larger deviations may require selling part of the overweight position.

Is it right to rebalance every quarter?

It depends on portfolio size and market volatility. For small portfolios, annual rebalancing is sufficient. In periods of higher volatility or with a larger portfolio, a quarterly check may make sense, but not necessarily a quarterly trade.

What should I do if I want to drop one ETF and switch to another?

Consider the tax implications. If the three-year holding period has been met, selling is tax-efficient. If not, weigh whether the advantage of the new ETF outweighs the tax cost. Sometimes it's better to keep the old fund and direct new contributions to the new one.

Should I add bonds during the Q2 review if I haven't had them before?

It depends on your horizon and tolerance. If you have less than 10 years to the withdrawal phase, or if you felt strong stress from Q1's decline, Q2 is a good time to add bonds. Otherwise, gradually adding them through contributions is safer than a lump-sum allocation.

Open in the app with tools →