GLOSSARY TERM
Monthly Investing (Dollar-Cost Averaging, DCA)
Monthly investing means investing a fixed amount of money at regular intervals, such as every month, instead of investing everything at once.
What does this mean in practice?
You keep investing the same amount whether markets are high or low. When prices are higher, your money buys fewer units. When prices are lower, it buys more. This makes investing more automatic and removes some of the pressure of trying to find the perfect moment to invest.
Example
You invest €200 into a broad ETF every month. In some months prices are up, in others they are down, but you keep following the same plan. Over time, this builds a habit and helps you enter the market gradually.
Why it matters
Monthly investing can make long-term investing simpler, steadier and easier to stick with. It reduces the temptation to wait for the “right time” and helps turn investing into a consistent habit.
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