Before You Start
- Have an active Trade Republic account verified and funded in EUR
- Know your target ETF allocation (by percentage or EUR value) for each ETF in your portfolio
- Be aware of your portfolio’s current holdings and up-to-date values
- Understand potential tax implications of selling ETFs in your country
- Ensure you have access to the latest version of the Trade Republic app (iOS, Android, or web)
Time needed: 30–60 minutes (depending on portfolio complexity)
What you'll need: Smartphone or computer, Trade Republic login, calculator or spreadsheet (optional)
Rebalancing your ETF portfolio is essential to keep your investments aligned with your risk tolerance and financial goals. This guide will walk you through how to rebalance your ETF holdings using Trade Republic, one of Europe’s most accessible brokers. Whether you’re adjusting by EUR amounts or percentage allocations, you’ll find every step covered—tested and actionable for 2026. For a broader strategy context, see our 2026 European Guide to Building Wealth with ETFs.
Step 1: Review Your Current Portfolio Allocation
What to do: Open the Trade Republic app and tap on Portfolio in the bottom menu. Here, you’ll see a list of your current ETF holdings, their market value in EUR, and their percentage of your total portfolio.
- Take a screenshot or write down each ETF’s value and percentage.
- If you use savings plans (Sparpläne), tap Savings Plans to see their monthly allocation.
Why it matters: You can’t rebalance without knowing your current position. This snapshot is the baseline for your adjustments.
What can go wrong: Failing to record accurate values may lead to incorrect trades, costing you unnecessary fees or distorting your risk profile.
Pro Tip
Export your Trade Republic portfolio as a CSV file (available in the web version) for easier calculations.
Step 2: Define Your Target Allocation
What to do: Decide on your target allocation for each ETF, either as a percentage of your portfolio or a specific EUR amount. For example:
- Vanguard FTSE All-World UCITS ETF (IE00B3RBWM25): 60% (€6,000 out of €10,000)
- iShares Core € Govt Bond UCITS ETF (IE00B4WXJJ64): 30% (€3,000)
- Xtrackers MSCI Emerging Markets UCITS ETF (IE00BTJRMP35): 10% (€1,000)
Why it matters: Your target allocation reflects your risk tolerance and investment goals. Rebalancing brings your real portfolio back to these targets.
What can go wrong: Choosing unrealistic or overly aggressive allocations may expose you to unwanted risk. Review your targets annually or after major life changes.
Pro Tip
Consider using diversified, EUR-denominated ETFs for simpler rebalancing and lower currency risk. See our guide on the top EUR Multi-Asset ETFs for European Investors in 2026 for examples.
Step 3: Calculate Required Buys and Sells
What to do: For each ETF, subtract its current value from your target value. This tells you how much to buy (if positive) or sell (if negative).
Example:
| ETF | Current Value (€) | Target Value (€) | Buy/Sell (€) |
|---|---|---|---|
| Vanguard FTSE All-World | €5,300 | €6,000 | +€700 (Buy) |
| iShares Core € Govt Bond | €3,700 | €3,000 | -€700 (Sell) |
| Xtrackers MSCI EM | €1,000 | €1,000 | €0 (No Action) |
Why it matters: This calculation ensures you only make necessary trades, reducing transaction costs and tax events.
What can go wrong: Ignoring small deviations (“drift”) is usually fine, but frequent, small adjustments may trigger avoidable taxes and fees.
Pro Tip
Use a spreadsheet to automate these calculations, especially if you have more than three ETFs.
Step 4: Place Buy and Sell Orders in Trade Republic
What to do:
- In the Trade Republic app, tap Portfolio and select the ETF you wish to sell.
- Tap Sell, enter the EUR amount or number of shares, and confirm the order. Repeat for each ETF you need to reduce.
- Once sales are executed, return to Portfolio, select the ETF you wish to buy, tap Buy, enter the EUR amount (Trade Republic allows fractional shares), and confirm.
Why it matters: Selling first ensures you have the cash available for necessary purchases, especially if your portfolio is fully invested.
What can go wrong: Market movements between your sell and buy orders may slightly change your allocation. Avoid trading during high-volatility periods if possible.
Pro Tip
On Trade Republic, use market orders for speed, but consider limit orders if trading large amounts or during volatile times.
Step 5: Adjust Savings Plans for Automatic Rebalancing
What to do:
- Tap Savings Plans in the Trade Republic app.
- Edit each ETF’s plan to reflect your new target monthly contributions (e.g., 60% of your monthly investment to All-World, 30% to bonds, etc.).
- Set the execution date and confirm changes.
Why it matters: Adjusting your savings plans helps keep your portfolio balanced over time without constant manual intervention.
What can go wrong: Forgetting to update your savings plans means your portfolio will drift from your targets after rebalancing.
Pro Tip
Trade Republic supports fractional investing in savings plans, so you can invest exact EUR amounts per ETF, no matter the share price. Learn more in our guide to Trade Republic’s Fractional Shares.
Step 6: Review Tax Implications and Document Your Trades
What to do:
- Check your country’s tax rules for capital gains on ETF sales. In most European countries, selling ETFs may trigger a tax event if you sell for a profit.
- Download your Trade Republic transaction statements for your records (found under Profile → Documents).
- Record the cost basis, sale amount, and profit/loss for each transaction.
Why it matters: Proper documentation helps you accurately report taxes and avoid penalties.
What can go wrong: Failing to report capital gains can result in fines. If in doubt, consult a tax advisor familiar with your country’s laws.
Pro Tip
Some countries offer tax-free allowances or longer-term capital gains benefits. Time your rebalancing to take advantage if possible.
Step 7: Schedule Regular Portfolio Reviews
What to do: Set a calendar reminder to review your portfolio allocation every 6 or 12 months, or after major market moves.
- Consider rebalancing only if allocations drift by more than 5% from your target, to minimize unnecessary trading.
- Monitor changes in your personal life or market conditions that may require a new asset allocation.
Why it matters: Scheduled reviews keep your portfolio on track while minimizing costs and taxes.
What can go wrong: Over-frequent rebalancing increases costs; too infrequent lets your risk profile drift.
Pro Tip
Stress test your ETF portfolio annually. See our ETF Portfolio Stress Test guide to prepare for market shocks.
Common Mistakes When Rebalancing ETFs on Trade Republic
- Ignoring taxes: Selling ETFs can trigger capital gains tax. Always check before executing sells.
- Trading too often: Excessive rebalancing increases costs and taxes. Stick to a defined schedule or threshold.
- Incorrect orders: Double-check buy/sell amounts. Trade Republic’s interface is user-friendly, but mistakes can happen—especially with fractional shares.
- Forgetting to update savings plans: This can quickly undo your careful rebalancing work.
- Neglecting diversification: Don’t rebalance into a single ETF or asset class—maintain a diversified approach. See our articles on all-weather ETF portfolios in Europe for inspiration.
Next Steps
- Set your next portfolio review date in your calendar now.
- Explore more advanced ETF strategies, such as using accumulating ETFs or integrating new asset classes. Our guide on low-cost EUR accumulating ETF portfolios is a great place to start.
- If you’re new to rebalancing or want a more comprehensive strategy, read the 2026 European Guide to Building Wealth with ETFs.
- Sign up for official updates or explore Trade Republic’s Help Center for platform-specific questions.
Disclaimer: This article is for educational purposes only and does not constitute financial advice. Always do your own research and consider consulting a qualified financial advisor before making investment decisions.