TL;DR — When an index's composition or weights change, LunaVector shows you the proposed trades and executes them on your exchange after you approve (or automatically, depending on your settings).

When rebalancing happens

• Scheduled — on the index's publication cadence (monthly/quarterly, depending on the index).
• Drift-based — when actual weights deviate materially from target weights.
• Manual — you can trigger it yourself, e.g. after adding new funds.

The rebalancing flow

1. LunaVector fetches the latest index composition.
2. Compares current portfolio vs. target weights.
3. Generates the minimum set of trades to reach the target.
4. Notifies you with a preview (assets, quantities, fees, net delta).
5. On approval (or auto), executes trades via your exchange API.
6. Logs the result in your Rebalancing history.

Guardrails

• Trades respect exchange min notional and min quantity rules.
• Non-supported assets on your exchange are handled per the index's fallback rule (skip, proportional reweight, or warn).
• Staking-locked funds are excluded from rebalancing to avoid failed trades.

Failsafes

• Partial fills are retried within a safe window.
• Hard failures park the position as Needs attention and notify you.