My country people I greet una specially, i do notice say someone say any time wen we dey mention DCA strategy most newbies dey get misunderstanding and confusing themselves rather DCA na better strategy investments approach that helps the investors to reduce the impact of market volatility and also helps in investing a regular amount of money at a regular intervals regardless of the market fluctuations.
Which i will like to share my thoughts on DCA strategy not been used to oversee the market fluctuations.
- DCA helps to reduce the timing risk which mean is by investing regularly, you fit buy some units when the price appreciates and fit buy fewer when the prices come up
- DCA helps to encourage investors to stay and stick to your investment plan regardless the market condition.
- it helps you to over control your emotions which means you will be less likely to make impressive decisions based on emotion.
From more learning https://www.investopedia.com/terms/d/dollarcostaveraging.asp
