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Stage 18 · Lesson 3 / 5
Rebalancing in a Crash
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01 / 05

Rebalancing in a Crash

Coach Chad, crying

Lesson 3: After a 50% equity drawdown, your bond sleeve is overweight and your stock sleeve is underweight. Now you have to buy stocks. On purpose.

Stocks just fell 50%. Now what?

Go with your gut.

Your rule says rebalance back to your target mix. What does that force you to do?