Definition
Rebalancing means bringing portfolio weights back toward a target mix after markets move. Many investors use a calendar (e.g., yearly) or bands (e.g., drift beyond 5%).
It is a risk-management habit, not a prediction tool — you sell what grew and buy what lagged relative to policy.
Why it matters
Without a process, winners can silently dominate — increasing concentration just when mean reversion might hurt.
How Cognitor helps you research
Cognitor does not set your policy — it supplies structured weekly evidence so reviews can be intentional: see lens disagreement and SENIOR alignment before you change size.