No. of Recommendations: 0
Dr C Writes:I think that yes, it probably does make sense, especially right now with the market no longer rip roaring into infinity and beyond to put the whole $3K in FUSEX index and then split future salary deposits between FUSEX, One Tech Fund and One "Other" Fund that's invested different to Tech Fund.

mphipps writes: The interesting thing about dollar cost averaging is that is doesn't care which way the market is going. Sometimes the more time I spend looking at my investments the more times a mess up. So I would do what you have suggested. And in six momths you probably will have more assets in tech than if you moved all in today. And you will be happier. By having only 20% in tech a 20% drop in tech only means 4% drop in portfolio. Everything has a critic and dollar cost averaging has one. It says that dollar cost averaging is more expensive because stocks stay higher for longer than they stay lower. So by combining dollar cost averaging with asset allocation you can average this problem out.
Print the post  


The Retirement Investing Board
This is the board for all discussions related to Investing for and during retirement. To keep the board relevant and Foolish to everyone, please avoid making any posts pertaining to political partisanship. Fool on and Retire on!
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.