Is Dollar Cost Averaging useful for stocks?
Referring to my friend’s post on “Dollar Cost Averaging is Stupid?“, one question that came across my mind – is dollar cost averaging or DCA also applicable for stock investing? We all know that most mutual funds/unit trusts are based on DCA concept since they encourage you to pump in money every month. So if [...]
Averaging your stocks
One of the most common methods used by stock investors is to average your stock. It is a good way to cut losses if your current stocks are suffering too much. For example, if you buy IOI at RM 5 and it drops to RM 4. You actually lost RM 1 (ignoring the additional charges). [...]