Glossary · deep dive

DCA

Dollar-cost averaging: buying a fixed amount at regular intervals regardless of price.

Educational concept, not financial advice.

Dollar-cost averaging means buying a fixed amount of money's worth at fixed intervals, for example every week, no matter the price. You get more units when the price is low and fewer when it is high.

It removes the need to time the market and reduces the stress of a single entry point. It does not guarantee a profit, and it does not protect against a long-term fall in price.