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Pros and Cons of Dollar Cost Averaging vs. Lump Sum Investing
This chapter discusses the pros and cons of dollar cost averaging vs. lump sum investing, highlighting that dollar cost averaging may be more advantageous during market declines, while lump sum investing may be better when the market is already at the bottom and expected to rise. They also introduce a rule for determining whether to dollar cost average or lump sum invest based on the size of the windfall relative to current investable assets.