Dollar Cost Averaging (DCA) is an investment strategy where an investor consistently buys a fixed dollar amount of an asset, such as mutual funds or securities, at regular intervals. This results in purchasing more units when prices are low, effectively lowering the average cost per share over time.
A monthly investment plan is a strategy where an investor places a fixed dollar amount into a particular investment instrument every month. This approach aids in building a position at advantageous prices through the method of dollar cost averaging.
A Voluntary Accumulation Plan is a financial strategy subscribed to by a mutual fund shareholder to accumulate shares in that fund over time. The shareholder decides both the investment amount and the investment intervals.
