What Is Dollar Cost Averaging? – Forbes Advisor
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Dollar cost averaging is a strategy that can help you lower the amount you pay for investments and minimize risk. Over the long term, dollar cost averaging can help lower your investment costs and boost your returns.
What Is Dollar Cost Averaging?
Dollar cost averaging is a strategy to manage price risk when you’re buying stocks, exchange-traded funds (ETFs) or mutual funds. Instead of purchasing shares at a single price point, with dollar cost averaging you buy in smaller amounts at regular intervals, regardless of price.
When investors purchase securities…
