Hass is using a constant-mix strategy with performance bands that prevent him from having to rebalance positions that have not moved that much. Calendar rebalancing refers to rebalancing at a set date. We know Hass doesn’t do that because he just decided on the spur of the moment to rebalance. A constant-proportion strategy requires the selling of stocks when they are down and the purchasing of stocks when they are up, which is the opposite of what Hass did |
