How does Acorns rebalance my portfolio?

Acorns automatically rebalances your portfolio as you invest. 

How does it work?

When you deposit or withdraw funds, your portfolio may temporarily fall out of alignment with your target allocations.

Acorns automatically rebalances portions of your investments, to move your account toward its target portfolio allocation.

When do you rebalance my portfolio?

We rebalance your portfolio when the percentage holding of one or more exchange-traded funds (ETFs) in your portfolio fluctuates 5% above or below its target allocation. 

When this happens, we sell overrepresented ETFs and use those proceeds to buy underrepresented ETFs. That way your portfolio is brought towards its target allocation.

We also rebalance when you request to change your portfolio. We adjust the allocation of each fund to match the new risk profile, based on whatever change you made. 

We sell overrepresented ETFs. Then, we use the proceeds to buy underrepresented ETFs to bring your portfolio in line with its new target allocation. 

We do not recommend frequently changing your portfolio or attempting to time the market, as this can potentially result in reduced performance and/or adverse tax consequences.

How long does rebalancing take?

Portfolio rebalancing typically takes a few business days to complete.