Dollar-Cost Averaging
Dollar-cost averaging is investing a fixed amount on a regular schedule regardless of price. You automatically buy more shares when prices are low and fewer when they're high, and — more importantly — you remove the timing decisions that most investors get wrong.
It's what a 401(k) contribution does every payday. Historically, investing a lump sum immediately beats averaging in about two-thirds of the time because markets rise more often than they fall, but spreading purchases trades a little expected return for real peace of mind.
Put it to work
Investment Calculator
Project an investment portfolio's growth with monthly contributions — final value, your money vs market growth, and the year-by-year path.
Compound Interest Calculator
See how your savings grow with compound interest and monthly contributions — final balance, interest earned, and a year-by-year growth table.