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rebalance mechanism has some significant flaws
1.1 like: we calculate portfolio on 2005-09-01, get $X amount. then rebalance on the next day 2005-09-02 end price, which means we lost 1 day growth/loss. these is a gap, the gap is 1 day
1.2 so, the solutuion is rebalance the ETFs using the same day price as we calculate the portfolio value -
affecting parameters:
2.1 rebalance strategy. eg: top 3 performing sector ETFs
2.2 rebalance frequency eg: every 3 months
2.3 SPY distribution for conservativeness eg: 60% in SPY, and stick with this ratio
2.4 Alpha ETF distribution eg: evenly distributed among top 3 ETFs