The bands for this allocation
Five equal 20% sleeves put every holding exactly on the 5/25 crossover, where the absolute and relative thresholds produce the same band.
| Sleeve | Target | Band | Binding rule | Rebalance outside |
|---|---|---|---|---|
| Total US stock market | 20% | 5 points | absolute | 15% to 25% |
| US small cap value | 20% | 5 points | absolute | 15% to 25% |
| Long-term Treasuries | 20% | 5 points | absolute | 15% to 25% |
| Short-term Treasuries | 20% | 5 points | absolute | 15% to 25% |
| Gold | 20% | 5 points | absolute | 15% to 25% |
The tightest band belongs to Total US stock market at 5 points, set by the absolute threshold. Every sleeve sits at or above the 20 percent crossover, so the flat 5 point band governs all of them.
What happens after a strong equity year
Holding the allocation untouched through a stylized year with equities up 30%, bonds down 10%, and real assets flat produces these weights. Nothing was bought or sold; the drift is purely market movement.
| Sleeve | Target | After the move | Status |
|---|---|---|---|
| Total US stock market | 20% | 24.07% | in band |
| US small cap value | 20% | 24.07% | in band |
| Long-term Treasuries | 20% | 16.67% | in band |
| Short-term Treasuries | 20% | 16.67% | in band |
| Gold | 20% | 18.52% | in band |
No sleeve leaves its band, so a 5/25 policy would not trade. The widest drift is Total US stock market at 4.07%.
A breach is not a recommendation: it means an allocation left the range you chose. Transaction costs, spreads, capital gains, wash-sale rules, and new contributions all affect whether acting is worthwhile. These figures are illustrative and use reference weights, not your holdings.
Run your own weights
These are reference targets. Enter what you actually hold to see your own bands, which threshold governs each sleeve, and how much would have to trade.
Open the rebalancing band calculatorGolden Butterfly Portfolio band questions
What are the 5/25 rebalancing bands for a Golden Butterfly Portfolio?
Each sleeve gets the tighter of a 5 percentage point band and a band worth 25 percent of its own target. Total US stock market at a 20% target trades outside 15% to 25%, US small cap value at a 20% target trades outside 15% to 25%, Long-term Treasuries at a 20% target trades outside 15% to 25%, Short-term Treasuries at a 20% target trades outside 15% to 25%, Gold at a 20% target trades outside 15% to 25%.
Which sleeve of a Golden Butterfly Portfolio triggers first?
Total US stock market has the tightest band at 5 points, governed by the absolute threshold. Every sleeve sits at or above the 20 percent crossover, so the flat 5 point band governs all of them.
Would a Golden Butterfly Portfolio need rebalancing after a stylized year with equities up 30%, bonds down 10%, and real assets flat?
No. After a stylized year with equities up 30%, bonds down 10%, and real assets flat, the widest drift is Total US stock market at 4.07% against a band of 5 points, so no sleeve leaves its range and a threshold policy would not trade.
Bands for other allocations
Drift is one dimension. Check portfolio concentration for what sits inside the sleeves, ETF overlap for funds holding the same companies, and the portfolio risk monitor for tracking all three across connected accounts.