What Are Systematic Investing and Dollar Cost Averaging?
Thanks to the ease of electronic banking and fund transfers, you can build your retirement savings without even thinking about it. Each month—or each paycheck—money is taken out of your bank account and invested into your retirement account. That’s it. Your money literally invests itself. This method of investing is called systematic investing, and with it: • Every little bit helps. • The automated process takes the worries and emotions out of investing. • You don’t have to remember to send a check or watch the market. • Investing becomes a regular habit. • You gain a long-term outlook. • You may become less nervous with every downturn in the market. • You pursue your goals a lot more effectively with a measured, constant approach. • You don’t have to worry about market timing and following the crowd.When you invest one lump sum of money at a time, you might wait for the right time to put your money into the market. But while you’re waiting, your money isn’t doing anything. And then wh
