Jonathan Clements writes in his "Getting Going" column that rebalancing should be be done less frequently. It seems that this wrongheaded idea follows entirely from another mistaken idea: that markets can be timed. Momentum strikes again! (cue the soundtrack). Clements even goes so far as to quote William Bernstein (an investment advisor from North Bend, Oregon) who pronounces "that there's significant evidence of momentum in asset class returns". Is this evidence statistically significant? I think not. Clements does make one correct, albeit obvious, point: rebalanceing has tax consequences. duh. Why don't we let the fools be fools and we'll go ahead and invest in equal weighted, frequently rebalanced portfolios (Adi, Mike, Cengiz) or the good old value weighted portfolio (Dean).