Investing
4 months ago
Dollar-cost averaging vs lump sum investing — which actually performs better?
30
I just received a $300,000 inheritance and I'm paralyzed about how to invest it. Should I dump it all into my index fund allocation at once (lump sum) or spread it out over 12 months (dollar-cost averaging)? I've read that lump sum beats DCA about 2/3 of the time historically, but the emotional risk of investing right before a market crash terrifies me. What's the data say?
DR
Share your answer
Have an answer?
Join the community to share your knowledge and help others.
Ask and answer anonymously
Follow topics you care about
No spam, no sales calls
0 Answers
No answers yet
This question is waiting for someone with the right expertise. You could be the first to help.
More Investing questions
What questions should I ask a financial advisor before hiring them?42 ansInvesting in your 50s with 10-15 years to retirement - how aggressive should I be?38 ansIs the 4% withdrawal rule still safe for early retirees in 2026?3 ansIs a financial advisor worth 1% annual fee?15 ansWhat questions should I ask a financial advisor before hiring them?7 ans