For a long time, I assumed rebalancing was something you either did mechanically or not at all. Over time, I realized there are many approaches: calendar-based, threshold-based, or simply letting allocations drift for years. Each seems to have different tradeoffs in terms of taxes, behavior, and simplicity.
I’m curious how others here think about rebalancing in a long-term ETF portfolio. Do you follow strict rules, rebalance opportunistically, or largely ignore it unless things drift significantly? What has worked best for you over time.?