More Resources

Home > Encyclopedia > Category > Investing > Dollar-Cost Averaging

Dollar-Cost Averaging

Definition: To invest, as in shares of stock, fixed amounts of money at regular intervals so as to buy more at lower prices ad less at higher prices

Dollar-cost averaging means that if you put the same amount in each year, you'll buy more investments, such as shares of a mutual fund, when prices are down and fewer when prices are up. The end result will be that you'll pay a lower average price than the actual average price of the investment during that period.

Marketplace

Learn how to distribute a press release

Try our new online printing. theupsstore.com/print
Encyclopedia Search
 
Terms A-Z:
A B C D E F G H I J K L M N O P Q R S T U V W X Y Z #
Today on Entrepreneur
Entrepreneur Connect
How do you feel about Windows 7?
Do you use Windows 7 to run your business? If so, why? Is it better than Vista? Let's also hear from the Mac people out there.
Resource Centers
Where Business Gets Done
Revisit the lost art of the meeting, the pitch, the presentation and the all important handshake to close the deal.

Insurance Center
Review your company's needs, save on workers' comp, protect your business from lawsuits and more.

Startup How-To Guides
Step-by-step guides to launching your business.

Commercial Vehicle Center
Get the right ride for your business.


Sign Up for the Latest in:
e-Business & Technology
Franchise News
Business Book Sampler
Starting a Business
Sales & Marketing
Growing a Business

E-mail*
Zip Code*



Latest Features
Meet the innovators who faced repeated rejection and triumphed despite the cynics.
Take our ONLINE QUIZ to find out now!
Is the man who treats life--and business--as an extreme sport more like you than you think?
It starts with strategic thinking and thoughtful growth. Here's an inside look at how two successful businesses went from zero to $1 billion.