> For the complete documentation index, see [llms.txt](https://hawkfi.gitbook.io/whitepaper/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://hawkfi.gitbook.io/whitepaper/hawkfi-solana/hawkfi-models/build-your-own-models/auto-rebalance-ar.md).

# Auto-rebalance (AR)

Strategically auto-adjusts the distribution of assets

## What is Auto-rebalance (AR)?

Auto-rebalance (AR) is a HawkFi automation that strategically adjusts the distribution of assets between different tokens in a pool to maintain an optimal position within the market’s price range.

<figure><img src="https://2398566195-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F-MkAAAkwc4rfI_zJDpZh%2Fuploads%2FrrWcuVJPPDF8V0oC2wEb%2Frebalance-up-down.gif?alt=media&amp;token=b96fa0be-fa70-44ee-9012-8c974e268c79" alt=""><figcaption></figcaption></figure>

## How does Basic Auto-rebalance (AR) work?

Auto-rebalance (AR) closes or adjusts the old range and opens a new range based on the selected rebalance type and mode.

## Auto-rebalance (AR) types

| Type               | What it does                                                                                         | Go deeper                                                                                                                        |
| ------------------ | ---------------------------------------------------------------------------------------------------- | -------------------------------------------------------------------------------------------------------------------------------- |
| Swapped Rebalance  | Moves the position range and uses swaps during the rebalance process.                                | [Swapped Rebalance](/whitepaper/hawkfi-solana/hawkfi-models/build-your-own-models/auto-rebalance-ar/swapped-auto-rebalance.md)   |
| Swapless Rebalance | Moves the position range without performing a swap.                                                  | [Swapless Rebalance](/whitepaper/hawkfi-solana/hawkfi-models/build-your-own-models/auto-rebalance-ar/swapless-auto-rebalance.md) |
| Ping Pong          | Advanced AR behavior that alternates rebalance behavior between two configured directions or ranges. | [Ping Pong](/whitepaper/hawkfi-solana/hawkfi-models/build-your-own-models/auto-rebalance-ar/ping-pong-auto-rebalance.md)         |

## Auto-rebalance (AR) Shared Customizations

These settings can apply across AR setups depending on the selected type and mode.

<table><thead><tr><th width="190">UI field</th><th width="210">Example</th><th>What it controls</th></tr></thead><tbody><tr><td>Deposit Mode</td><td>Auto-swap or No swap</td><td>Controls whether HawkFi swaps assets to match the required deposit ratio or keeps withdrawn assets intact for deposit.</td></tr><tr><td>Auto-Rebalance Deposit Slippage</td><td>3% slippage</td><td>Sets the slippage limit used when AR deposits into the new position.</td></tr><tr><td>Auto-Rebalance Swap Slippage</td><td>Dynamic, max 5% slippage</td><td>Sets the swap slippage limit when Auto-swap is used.</td></tr><tr><td>AR Cooldown</td><td>1 hour</td><td>Controls how soon AR can trigger again after a directional rebalance. Current UI supports 0 minutes to 24 hours.</td></tr><tr><td>Rebalance Buffer</td><td>None, Price, or Time</td><td>Adds an optional buffer condition before AR executes.</td></tr></tbody></table>

## Tax-token pool compatibility

The available automations depend on whether one token or both tokens have a transfer tax.

### One token has a transfer tax

Auto-rebalance (AR) is available with either Deposit Mode.

* **No Swap** skips the swap, but it does not avoid the transfer tax. The taxed token can still be charged when HawkFi withdraws and redeposits the position.
* **Auto-swap** can also be used. Before HawkFi enables AR, it shows the transfer-tax rate and asks you to confirm that the tax may be charged every time AR runs. Auto-swap can move the taxed token through an additional swap.

If you do not confirm, HawkFi does not turn on Auto-rebalance.

### Both tokens have a transfer tax

Auto-rebalance is not available. HawkFi has no untaxed-token side to rebalance into.

For Reshape Liquidity compatibility, see [Reshape Liquidity (RL)](/whitepaper/hawkfi-solana/hawkfi-models/build-your-own-models/reshape-liquidity-rl.md).

Keep Auto-accumulate Fees (AA) turned off; AA and AR cannot be used together for these pools. See [Auto-accumulate Fees (AA)](/whitepaper/hawkfi-solana/hawkfi-models/build-your-own-models/auto-accumulate-fees-aa.md) for the supported tax-token automation combinations.

## How Auto-rebalance (AR) behaves per strategy

| Strategy                     | What AR is used          | How AR behaves                                                      | Goal                                                       |
| ---------------------------- | ------------------------ | ------------------------------------------------------------------- | ---------------------------------------------------------- |
| Precision Hybrid + Rebalance | Ping Pong Auto-rebalance | AR can move the full range while Hybrid manages shape exposure.     | Keep the Hybrid position active as market conditions move. |
| Precision Curve + Rebalance  | Ping Pong Auto-rebalance | AR can move the full range when the selected rebalance rule is met. | Keep the Curve position working near the active bin.       |
| HFL                          | Ping Pong Auto-rebalance | AR can move the range frequently as price moves.                    | Keep a tight range active near current price.              |
| MCU                          | Swapped Auto-rebalance   | AR can move the range based on directional or timing rules.         | Support longer timeframe directional LP management.        |

## FAQs for Auto-rebalance (AR)

<details>

<summary>How is Auto-rebalance different from Reshape Liquidity (RL)?</summary>

Auto-rebalance moves the full position range. Reshape Liquidity keeps the range fixed and reshapes liquidity inside that range.

Use AR when the position range itself needs to move. Use RL when the range should stay fixed but the liquidity shape needs to stay useful around the active bin.

</details>

<details>

<summary>How should I choose between Swapped and Swapless Rebalance?</summary>

Use Swapped Rebalance when you want to do traditional rebalance with swaps. Use Swapless Rebalance when you want to save on swap fees.

</details>

<details>

<summary>Does Auto-rebalance guarantee better returns?</summary>

Auto-rebalance helps keep the position range closer to the active bin when the configured condition is met. It optimizes positions earn more fees, but results still depend on market conditions, volume, price movement, and strategy setup.

</details>