← Back to Education CenterConsistency can matter more than perfect timing
Systematic Investing & Dollar-Cost Averaging
Systematic investing means contributing on a regular schedule. When prices fluctuate, the same dollar amount buys more shares at lower prices and fewer shares at higher prices.
01
What dollar-cost averaging does
Regular fixed-dollar purchases can reduce the average cost per share over time in a fluctuating market.
02
What it does not do
Dollar-cost averaging does not guarantee a profit or protect against loss. An investor must also have the financial ability to keep investing during periods when prices are lower.
03
Automation can help
Automatic contributions can make long-term saving easier to maintain by turning investing into a recurring habit rather than a decision that must be repeated every month.