See dollar-cost averaging under Mutual Fund section.
An investment strategy where an investment of a constant amount is made in the same security or subaccount at regular time intervals, regardless of the market prices or conditions. The investor is able to heighten returns by purchasing more shares of the subaccount when prices are reduced, which of course all rise in value when experience improves.
The technique of investing a fixed sum at regular intervals regardless of stock market movements. This reduces average share costs to the investor, who acquires more shares in periods of lower security prices and fewer shares in periods of high prices. In this way, investment risk is spread over time.
Investment of a fixed amount of money at regular intervals, usually each month. This process results in the purchase of extra shares during market downturns and fewer shares during market upturns. Dollar-cost averaging is based on the belief that the market or a particular stock will rise in price over the long term and that is not worthwhile (or even possible) to identify intermediate highs and lows.--Also called averaging.
A strategy for investing a fixed amount on a regular basis regardless of whether prices are higher or lower than at the time of your last investment. (See also Value Averaging)
A principle of investing which entails the use of equal amounts for investment at regular intervals in the hope of reducing average share cost by acquiring more shares in periods of lower securities prices and fewer shares in periods of higher securities prices.
A program whereby investments are made (usually in shares and managed funds) on a regular basis with the aim that over the long run, the average price paid for the assets would be lower than market value of the assets as more assets would usually be purchased at lower prices than would be at higher prices.
(go to top) The practice of investing equal amounts of money at regular intervals regardless of whether securities markets are moving up or down. This procedure reduces the average share costs to the investor who acquires more shares during the periods of lower security prices and fewer shares in periods of higher prices.
A system of buying securities at regular intervals with a fixed dollar amount. Under this system you buy by the dollar's worth rather than by the number of shares. If each investment is the same number of dollars, payments buy more shares when the price is low and less when it increases. Temporary downswings in price therefore benefit you if you continue to make periodic purchases in both good times and bad, and the price at which the shares are sold is more than their average cost. Keep in mind that periodic investment plans do not assure a profit or protect against loss in declining markets. Consider your financial ability to continue purchases through periods of low price levels.
The process of making regular payments or investing the same amount periodically
The process of investing a regular amount at a regular time interval.
The practice of investing amounts of money at regular intervals, regardless of whether the securities markets are declining or rising.
systematic buying of investments at regular intervals with fixed dollar amounts.
Strategy of investing a fixed amount of money at regular time intervals regardless of share prices. This means more shares are purchased when prices are low and fewer shares are purchased when prices are high, thus increasing the buying power of a given investment. You should keep in mind that a program of regular investment cannot guarantee a profit or protect against a loss in a declining market. So choose an amount you feel comfortable investing under all market conditions.
A process of buying securities at regular intervals and at a fixed dollar amount. When prices are lower, the investor buys more shares or units; when prices are higher, the investor purchases fewer shares or units. Over time, this typically results in a better average price for all shares or units purchased.
Investing equal amounts of money at regular intervals on an ongoing basis. This technique ensures that an investor buys fewer shares when prices are high and more shares when prices are low.
An investment strategy in which securities (typically mutual funds) are purchased in fixed dollar amounts at regular intervals -- regardless of how the market is performing. This technique reduces the average share costs to investors because they purchase more shares in periods of lower securities prices, and fewer shares in periods of higher prices. While dollar-cost averaging tends to spread investment risk over time, it does not assure profits or protect against losses in declining markets. In addition, since dollar-cost averaging involves continuous investment in securities regardless of fluctuating price levels of such securities, investors should consider their financial ability to continue purchases through periods of low price levels.
An investment strategy where a person invests consistent amounts of money at regular intervals. When the stocks are trading at a relatively low cost, the person will end up purchasing more shares. This strategy is considered effective if the person believes the underlying stock price will rise over a long period of time.
An investment strategy which involves regular investments over time into the same security or mutual fund. Double Indemnity Payment of twice the basic benefit in the event of loss resulting from specified causes or under specified circumstances. Evidence of Insurability Any statement or proof of a person's physical condition, occupation, etc., affecting acceptance of the applicant for insurance.
A method of inventing a specific number of dollars over consecutive periods. When investing the same dollar amount, more shares are purchased when prices are lower; fewer when prices are higher. Over a period of time, the average cost per share may be lower. Such a plan does not assure a profit nor protect against loss in declining markets. Since such a plan involves continuous investments regardless of fluctuating price levels, investors should consider their financial ability to continue purchases through periods of low price levels.
An investment strategy which involves regular investing over time into the same security or mutual fund. A dollar-cost averaging program does not guarantee a profit or protect against loss in a declining market.
A formula plan for timing of investment transactions, in which a fixed dollar amount is invested in a security in each period; a passive buy-and-hold strategy in which the amount of periodic investment is held constant. limination period or waiting period: The time a policyholder must be insured under the policy before he/she is eligible for benefits.
A systematic investment method that allows the investor to allocate a constant amount on a regular basis. Many investors find that such a discipline helps them budget their investment program. It works by letting the "law of averages" even out marketplace volatility. It eliminates the need for market timing. For best results, regular payments should continue through good times and bad, whether securities markets are up or down.
an investment strategy in which a client invests a fixed amount of money periodically (such as monthly or quarterly). So, when stock prices are low the client will buy more shares and when stock prices are high, the client will buy fewer stocks.
An investment strategy based on making investments of equal amounts at regular intervals in the same fund or security. Because the shareholder buys more shares at lower prices and fewer shares at higher prices, the average cost of the shares purchased will generally be lower than the average price over the investment period. However, dollar-cost averaging does not ensure a profit or protect against a loss in a declining market.
A program for investing a fixed amount of money at set intervals with the goal of purchasing more accumulation units in a contract at low values and fewer units at high values. Variable annuity dollar-cost averaging programs involve allocating a purchase payment to one investment option, such as the money market fund or fixed option, and then having that payment periodically transferred out of that account to other subaccounts. Dollar-cost averaging does not assure a profit or protect against a loss.
Investing a set amount in a specific investment at regular intervals. As a result, when the value of the investment goes down, you're buying more of it, and when it rises, you're buying less. The objective is to reduce the average cost of your investment.
Also known as a constant dollar plan. Investing a fixed dollar amount at regular intervals over a long period of time to insure purchases at a variety of prices.
A program whereby you buy shares of a stock with a fixed dollar amount on a regular basis. In the long run, dollar-cost averaging results in lowering the average price of shares purchased as more shares are purchased at low prices than are purchased at high prices.
A strategy of investing equal amounts of money (instead of a number of shares) into an investment at regular time intervals to lessen the risk of investing a larger amount of money at a particularly inopportune time: payments buy more shares when the price is low and fewer shares when it rises. A way to avoid “timing” the market.
A method of investing a fixed dollar amount in securities at set intervals, regardless of market prices. With this approach, an investor buys more shares when prices are low, and fewer shares when prices are high. This generally results in a lower average cost per share than if the investor had purchased a constant number of shares at the same periodic intervals. An investor should consider his or her financial ability to continue through all types of market conditions. Dollar cost averaging will not assure a profit or protect against loss in a down market.
Strategy of investing fixed amounts to a fund on a regular basis (usually monthly), regardless of the market's direction. Many investors and advisors use the strategy to enforce discipline and factor out emotions in investment decisions - forcing investors to buy when shares are low.
a program of investing a set amount on a regular schedule regardless of the price of the shares at the time.
Purchasing the same dollar amount of an investment at fixed intervals, regardless of the fluctuating price levels of the investment. More shares are bought when prices are down and fewer when prices are up. Dollar-cost averaging does not assure a profit or protect against loss in declining markets. However, the average cost of the investment can be lower than it would be if a constant number of shares were bought at set intervals. Since such a strategy involves continuous investing, investors should consider their financial ability to continue their purchases through periods of low price levels.