Does dollar cost averaging really work?

Answer by  jconk (62)

Yes. While dollar cost averaging will not maximize gains, it will help mitigate losses. By purchasing at regular intervals market fluctuations will have less effect on overall profitability.

Answer by  rnovikoffgmailcom (1722)

no because the actualy worth of the dollar fluctuates so much. Companies need to realize that something is only worth as much as someone is actually going to apy for it.

Answer by  demannlv (179)

Most definitely. It is almost impossible to know where the market is going and how to hit the lowest price of an investment. Analysts are just guessing the direction the market is headed also. Dollar cost averaging eliminates guess work so you safely hit both the highs and lows.