Next Article in Journal
Microfinance and the Decision to Invest in Children’s Education
Previous Article in Journal
Operational Efficiency of Bank Loans and Deposits: A Case Study of Vietnamese Banking System
Article Menu

Export Article

Open AccessFeature PaperArticle
Int. J. Financial Stud. 2018, 6(1), 15;

Enhanced Portfolio Performance Using a Momentum Approach to Annual Rebalancing

Rubel School of Business, Bellarmine University, 2001 Newburg Road, Louisville, KY 40205, USA
Received: 15 November 2017 / Revised: 19 January 2018 / Accepted: 23 January 2018 / Published: 1 February 2018
Full-Text   |   PDF [171 KB, uploaded 1 February 2018]


After diversification, periodic portfolio rebalancing has become one of the most widely practiced methods for reducing portfolio risk and enhancing returns. Most of the rebalancing strategies found in the literature are generally regarded as contrarian approaches to rebalancing. A recent article proposed a rebalancing approach that incorporates a momentum approach to rebalancing. The momentum approach had a better risk adjusted return than either the traditional approach or a Buy-and-Hold approach. This article identifies an improvement to the momentum approach and then examines the impact of transactions costs and taxes on the portfolio performance of four active rebalancing approaches. View Full-Text
Keywords: rebalancing; momentum; portfolio performance; asset allocation rebalancing; momentum; portfolio performance; asset allocation
This is an open access article distributed under the Creative Commons Attribution License which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited (CC BY 4.0).

Share & Cite This Article

MDPI and ACS Style

Mattei, M.D. Enhanced Portfolio Performance Using a Momentum Approach to Annual Rebalancing. Int. J. Financial Stud. 2018, 6, 15.

Show more citation formats Show less citations formats

Note that from the first issue of 2016, MDPI journals use article numbers instead of page numbers. See further details here.

Related Articles

Article Metrics

Article Access Statistics



[Return to top]
Int. J. Financial Stud. EISSN 2227-7072 Published by MDPI AG, Basel, Switzerland RSS E-Mail Table of Contents Alert
Back to Top