tag:blogger.com,1999:blog-5465015914589377788.post5936524242485763036..comments2024-03-20T09:32:16.592-04:00Comments on Michael James on Money: Dollar-Cost Averaging MythsMichael Jameshttp://www.blogger.com/profile/10362529610470788243noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-5465015914589377788.post-8967899348010224442009-04-10T11:55:00.000-04:002009-04-10T11:55:00.000-04:00Mark: There are a number of ways to "average" the ...Mark: There are a number of ways to "average" the cost of your periodic investments. If you average the cost by investing a fixed number of dollars, then you're doing <A HREF="http://www.investopedia.com/terms/d/dollarcostaveraging.asp" REL="nofollow">dollar cost averaging</A>. Otherwise, you're using another averaging technique (such as <A HREF="http://www.investopedia.com/terms/v/value_averaging.asp" REL="nofollow">value averaging</A>).Patrickhttps://www.blogger.com/profile/16816252455472704262noreply@blogger.comtag:blogger.com,1999:blog-5465015914589377788.post-38140781281289386722009-04-09T13:29:00.000-04:002009-04-09T13:29:00.000-04:00Mark: I'm used to using the term "averaging down" ...Mark: I'm used to using the term "averaging down" for buying more of a stock after it drops. I agree that this is just semantics. It's the concept that matters.Michael Jameshttps://www.blogger.com/profile/10362529610470788243noreply@blogger.comtag:blogger.com,1999:blog-5465015914589377788.post-85116169223205515522009-04-09T13:23:00.000-04:002009-04-09T13:23:00.000-04:00To me the term 'dollar cost averaging' refers to i...To me the term 'dollar cost averaging' refers to intentionally buying more shares after the price has decreased - as opposed to investing a specific sum month after month, and taking whatever the price is at the time.<BR/><BR/>Just semantics, but to me the latter is not dollar cost averaging.<BR/><BR/>Nevertheless, good post.Mark Wolfingerhttp://blog.mdwoptions.com/options_for_rookies/noreply@blogger.com