Dollar Cost Averaging (DCA)

Dollar cost averaging is an investment approach where you invest a fixed amount of money into a specific asset at regular intervals, such as weekly or monthly, instead of making one large purchase all at once.

By spreading out your investment this way, you end up buying more shares when prices are low and fewer when prices are high. This helps reduce the effect of price swings, so you don’t have to guess the best time to buy. Over time, dollar cost averaging can smooth out your investment’s average cost per share and can help manage risk in unpredictable markets.