This one is classic - it is called dollar cost averaging. Now I am motivated to find a reason why dollar cost averaging is not necessarily the best strategy. Hmmm - let's say they fixed their "allocation problem" back at the end of '08 - where would they be now? Enough said.
Intelligent asset allocation means not reallocating because the market has forced you to (one asset's poor performance forces money out of other assets and back into that one in order to keep allocations level). Rather, it means shifting asset allocation because the economy / market has told you to do so (ie. it is the right thing to do).
The truth is, there is so much job/career risk driving these decisions that I am not sure intellect even enters the picture.
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