What is rebalancing?

Rebalancing adjusts the asset composition of your portfolio and involves buying and selling assets to maintain the desired asset allocation according to the portfolio’s investment strategy.

Why Rebalancing Matters

• Manages Risk: Prevents your portfolio from becoming too concentrated in a single asset class or a few individual securities.
• Locks in Gains: Helps you systematically sell high and buy low by trimming outperformers and reinvesting in undervalued assets.
• Maintains Discipline: Keeps your investment strategy aligned with your financial plan rather than market noise.

All Managed and Cash Management portfolios are fully discretionary, meaning Syfe automatically rebalances them on your behalf.

How Syfe Rebalances Portfolios

Core portfolios

Rebalanced when market conditions warrant, guided by Syfe’s Asset Class Risk Budgeting framework. This approach ensures portfolio weights are based on risk rather than capital, addressing price drifts and maintaining balanced risk exposure, helping to maximise risk-adjusted returns as market conditions evolve.

Equity components are optimised across size, value, quality, and emerging market factors for long-term risk-adjusted returns.

Income+ portfolios

Rebalanced periodically based on PIMCO’s forward-looking market views and proven investment approach.

Each rebalancing exercise draws on PIMCO’s deep expertise across credit spreads, yields, duration, and macroeconomic trends grounded in rigorous research and insights from their global economic forums.

This dynamic approach ensures your portfolio stays aligned with evolving market conditions, and remains optimally positioned to capture the most attractive income and return opportunities in the fixed income space.

REIT+ portfolios

Rebalanced semi-annually in March and September, in line with the iEdge S-REIT Leaders Index.

Launched in partnership with the SGX, REIT+ is an optimised portfolio of the 20 most well-known SGD-demonited S-REITs. During each rebalancing exercise, the portfolio is reviewed and re-optimised based on key factors such as liquidity and market capitalisation. A 10% cap is applied to any single REIT to maintain diversification and reduce concentration risk

The REITs component of the REITs with Risk Management portfolio follows the rebalancing schedule of the iEdge S-REIT Leaders Index as well.

Protected Portfolio

Syfe reviews the ETF universe on an ongoing basis when either the estimated max loss or the current upside cap no longer provide a favourable risk-reward balance. ETFs are evaluated through a comprehensive assessment of various factors including risk-reward ratio and time left to expiry. If a new ETF tranche is more attractive than the existing constituent ETFs in the Portfolio, we will initiate re-optimisation.

The re-optimisation is therefore achieved by replacing the existing constituent ETFs with new ETFs generally offering a higher return cap and loss protection closer to prevailing market levels. Such re-optimisations help to reduce future loss potential and revise the current upside cap upwards to capture further growth.

Thematic portfolios

Rebalanced periodically to optimise allocation efficiency and alignment with theme exposure.

Select Custom portfolios

Syfe does not rebalance your Select Custom portfolios, even when the allocation between constituents has deviated from the initial targets due to market movements. You may edit the composition and allocation of your Custom portfolios at any time. Learn more about non-discretionary portfolios.

Cash+ Flexi portfolio

While not regularly rebalanced, it is periodically reviewed to maintain an optimal allocation mix.

Important Note

When Syfe’s algorithms rebalance or optimise your portfolio (especially Income+ portfolios), deposit and withdrawal requests may experience slight delays.

These requests are processed after rebalancing completes, which may extend total settlement time to 8–10 business days, instead of the usual 4–5 business days.