dollar cost averaging
Periodic fixed purchases
Dollar cost averaging is an investment strategy of putting the same amount of money into a security at regular intervals regardless of price.
When prices are high, you buy fewer shares; when prices are low, you buy more.
The approach reduces the impact of volatility and removes the temptation to time the market: I've been dollar cost averaging into index funds for twenty years.
- financeProvide money for
- portfolioCollected works or assets
- allocationDistribution of shares
- fundsAvailable financial resources
- rebalancingRestoring proper proportions
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