3 ms·
No, your definition is wrong. DCA does not mean anything more than: "the practice of investing a fixed dollar amount on a regular basis, regardless of the share
by roflyear 4y ago
No, your definition is wrong. DCA does not mean anything more than: "the practice of investing a fixed dollar amount on a regular basis, regardless of the share price" - it is irrelevant where you get the money. https://intelligent.schwab.com/article/dollar-cost-averaging#:~:text=Dollar%20cost%20averaging%20is%20the,as%20well%20as%20your%20costs https://intelligent.schwab.com/article/dollar-cost-averaging....
https://www.investopedia.com/terms/d/dollarcostaveraging.asp https://www.investopedia.com/terms/d/dollarcostaveraging.asp
You can argue that it is better to just invest all the money as soon as possible, but that is not DCA.
- thunky 4y agoYour definition of DCA is in agreement with the comment you replied to.