Dollar cost averaging has been around for a long time and has this is a commonly adopted practice among both retail and professional investors.

What is Dollar Cost Averaging?

Dollar cost averaging is a strategy where the investor places a fixed dollar amount into an investment vehicle (stocks, bonds, mutual funds, etc.) on a regularly recurring schedule, regardless of the share price. Dollar cost averaging “forces” the investor to follow a disciplined method when making investments. Due to the fixed dollar (total) amount invested each time, the investor will buy more shares when the market is lower and fewer shares when the market is higher. However, are there other strategies apart from dollar cost averaging that we should know:

1. Lump Sum Investing

Lump sum investing involves parking a significant size of our portfolio into an investment vehicle at once, instead of putting in bit by bit on a ......