A fixed amount buys more units when prices are low, which drags your average cost below the average price.

In a market that dips and recovers, drip-feeding wins. In a market that climbs, it loses to a lump sum.

The real benefit is behavioural: it removes the decision on the days you least want to make it.

Anyone with a workplace pension or 401(k) is already dollar-cost averaging, twelve or twenty-six times a year.

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