To Average or Not to Average? – Online Trading Academy 10-16-12

Salient to Investors:

Dollar cost averaging works in theory but not in real life.  Brokers use DCA to increase their commissions and appease clients facing losses.

DCA carries an opportunity cost.

Indexes regularly change their stock makeup, removing underperforming stocks with better performers.

Read the full article at http://lessons.tradingacademy.com/article/to-average-or-not-to-average/