Asset Class Mix Calculator

Asset mix drives portfolio risk and return profile.

Multifamily %

Office %

Industrial %

Retail %

Other %

MF target %

Industrial target %

Deviation score

MF deviation

0.05%

Total %

1.00%

How the math works

Sum of absolute deviations from target across asset classes. Lower = better aligned.

45% MF vs 40% target = +5% dev. 25% Ind vs 25% target = 0% dev. Total deviation score = 5.

How to Use

Enter actual allocations (%).
Enter target allocations (%).
Read deviation from target.

Frequently Asked Questions

Strategic allocation?

Institutional core: 40% multifamily, 30% office, 20% industrial, 10% retail historically. Core-plus: more retail, less office. Value-add: heavier office and hospitality. Target allocation reflects cycle view and risk appetite.

Rebalancing?

Quarterly vs target. ±3% bands trigger review. ±5% triggers rebalancing action. Hot sectors overweight (sell into strength). Cold sectors underweight (buy into weakness). Discipline matters; emotional allocation underperforms.

Cycle timing?

Office overweight 2010-18 underperformed 2020-23. Industrial overweight 2015-22 outperformed. Multifamily over-cycle stable performer. Match allocation to cycle view; diversify against confidence in the view.

How often should I rerun this?

Rerun this calculator whenever inputs change materially — new rent roll data, rate moves, loan balance updates, or quarterly operating data. For active deals, monthly refresh is typical. For stabilized assets under monitoring, quarterly is fine. Treat the output as a decision tool, not a one-time answer — market conditions evolve and so should your analysis.