Lump Sum Investing vs. Dollar Cost Averaging

When it comes to investing large sums of cash, there are two main types of investment strategies: Lump Sum Investing and Dollar Cost Averaging. So, what are these two strategies? Which one makes sense for you and your financial plan? Watch below to find out.

All investing involves risk including loss of principal. No strategy assures success or protects against loss.

Dollar cost averaging involves continuous investment in securities regardless of fluctuation in price levels of such securities. An investor should consider their ability to continue purchasing through fluctuating price levels. Such a plan does not assure a profit and does not protect against loss in declining markets.