> For the complete documentation index, see [llms.txt](https://help.utrading.io/en/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://help.utrading.io/en/trading/trading-bot/manual-trading/manual-trading-straregy/what-is-the-rebalancing-trading-plan.md).

# What Is the Rebalancing Trading Plan?

#### **What Is a Rebalancing Trading Plan?**

A Rebalancing Trading Plan is an automated portfolio management tool that maintains a predefined asset allocation by periodically or conditionally adjusting the proportion of each asset in a portfolio.

When market price movements cause the portfolio allocation to deviate from the target allocation, the system automatically sells overweight assets and buys underweight assets to restore the portfolio to its predefined allocation. By continuously performing rebalancing, the Trading Plan helps maintain the target asset allocation and reduce portfolio drift caused by market fluctuations.

Compared with manual portfolio adjustments, the Rebalancing Trading Plan automatically performs rebalancing operations, reduces manual intervention, improves portfolio management efficiency, and helps maintain the desired asset allocation over the long term.

#### **Key Features**

* Automatically performs rebalancing based on the configured schedule or trigger conditions.
* Adjusts portfolio allocation automatically with minimal manual intervention.
* Helps maintain the target asset allocation over time.
* Suitable for long-term portfolio management across multiple digital assets.

#### **Suitable Market Conditions**

A Rebalancing Trading Plan is suitable for long-term portfolio management and asset allocation. It helps maintain a predefined allocation across multiple digital assets while reducing portfolio drift caused by market price fluctuations.

#### **Risk Disclaimer**

A Rebalancing Trading Plan is an automated portfolio management tool and does not guarantee profits. Market fluctuations may affect asset values, and rebalancing trades may incur transaction fees and other associated costs. Before using the Trading Plan, ensure that its operating mechanism is fully understood and configure the portfolio according to your investment objectives and risk tolerance.