If your investment goals and time horizon have not changed, you may want to maintain your original allocations. In the example shown above, that means shifting some of your money from bond, equity-income and balanced funds back to growth and growth-and-income funds. Learn more in our rebalancing FAQs.
Or, if your plan offers them, consider investing in a target date fund, which attempts to balance investors’ needs for both returns and stability. A target date fund can serve as a single, diversified investment, and its allocations are based on your time horizon. Fund holdings are automatically adjusted over time as you near your retirement date.
Talk to your financial professional to see if it’s the right time for you to rebalance or if a target date fund makes sense for you.