> ## Documentation Index
> Fetch the complete documentation index at: https://support.rallies.ai/llms.txt
> Use this file to discover all available pages before exploring further.

# Portfolio Allocation Analysis

> Understand your portfolio's diversification and allocation across sectors, asset types, and more.

# Portfolio Allocation Analysis

See how your investments are distributed and identify opportunities to improve diversification.

## Viewing Your Allocation

1. Go to **Portfolio**
2. Click **"Allocation"** or **"Analysis"** tab
3. View breakdowns by different categories

## Allocation Views

### By Sector

See how much you have in each market sector:

* Technology
* Healthcare
* Financials
* Consumer Discretionary
* Consumer Staples
* Energy
* Industrials
* Materials
* Real Estate
* Utilities
* Communication Services

### By Asset Type

View allocation across:

* **Stocks** - Individual company shares
* **ETFs** - Exchange-traded funds
* **Mutual Funds** - Actively managed funds
* **REITs** - Real estate investments
* **Bonds/Fixed Income** - If applicable
* **Cash** - Uninvested cash in accounts

### By Market Cap

See distribution by company size:

* **Large Cap** - \$10B+ market cap
* **Mid Cap** - $2B - $10B market cap
* **Small Cap** - Under \$2B market cap

### By Geography

Where your investments are based:

* **U.S.** - Domestic stocks
* **International Developed** - Europe, Japan, etc.
* **Emerging Markets** - Developing economies

## Reading Allocation Charts

### Pie Charts

* Each slice represents a category
* Larger slices = bigger allocation
* Hover/tap for exact percentages

### Bar Charts

* Height shows allocation size
* Compare categories side-by-side
* Easy to spot over/underweights

## Understanding Diversification

### Why Diversification Matters

* **Reduces risk** - Don't have all eggs in one basket
* **Smoother returns** - Different sectors perform at different times
* **Protection** - If one sector drops, others may hold steady

### Signs of Good Diversification

* No single stock is more than \~10-15% of portfolio
* Multiple sectors represented
* Mix of market caps
* Some geographic diversity

### Warning Signs

* One stock dominates your portfolio
* All holdings in one sector
* No international exposure
* Over-concentration in employer stock

## AI Allocation Insights

Ask the AI about your allocation:

> "How diversified is my portfolio?"
> "Am I overweight in tech?"
> "What sectors am I missing?"
> "Compare my allocation to the S\&P 500"

The AI can provide personalized analysis based on your holdings.

## Rebalancing

If your allocation has drifted:

1. **Identify overweights** - Sectors above your target
2. **Identify underweights** - Sectors below your target
3. **Consider adjustments** - Buy underweights, trim overweights
4. **Tax implications** - Selling triggers capital gains

<Note>
  Rallies provides allocation analysis but does not give personalized investment advice. Consider consulting a financial advisor for rebalancing decisions.
</Note>

## Allocation Limits

What we can show:

| Feature               | Free    | Pro  |
| --------------------- | ------- | ---- |
| Sector breakdown      | ✓       | ✓    |
| Asset type            | ✓       | ✓    |
| Market cap            | ✓       | ✓    |
| Geographic            | ✓       | ✓    |
| AI insights           | Limited | Full |
| Historical allocation | ✗       | ✓    |

## Export Allocation Data

To save or analyze elsewhere:

1. Go to **Portfolio → Allocation**
2. Look for **"Export"** or download icon
3. Choose format (CSV, PDF)
4. Use in spreadsheets or share with advisor

***

## Related Articles

* [Understanding Portfolio Performance](/portfolio/performance)
* [Setting Up Your Portfolio](/portfolio/setup)
* [Portfolio Data Security](/portfolio/security)