Skip to main content
Message Font: Serif | Sans-Serif
No. of Recommendations: 1
If you buy the same stocks again and agsin in rotation with a fixed sum you get more shares when prices are down and fewer when prices are up. The result is dollar cost averaging, one of the best ways to accumulate shares at favorable prices.

As a practical matter most of us would be selective about which to buy after the first round. Which has the best potential for gain? Are any of good quality but down and likely to recover.

And if one has done very well it is easy to sell some and buy others to rebalance.

This is all part of developing your own investment style. The right answer may very well be different depending on your investment choices, risk tolerances, etc.
Print the post  


What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
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.