1 Great Reason to Invest in the Stock Market Right Now
This year has been rough for nearly everyone, with inflation soaring, the crypto market crumbling, and the entire stock market on a downhill slide. On the surface, then, right now may not seem like the best time to invest.
However, there's one great reason to consider buying now, and it could save you a lot of money over time and supercharge your total earnings: dollar-cost averaging.
What is dollar-cost averaging?
Dollar-cost averaging is a strategy that involves investing a set amount of money at regular intervals throughout the year. For example, rather than investing $5,000 once a year, you would invest $1,250 per quarter, or roughly $400 per month.
When you invest consistently throughout the year, you'll buy at both the market's high points and low points -- sometimes spending more for stocks and other times buying at a discount. Over time, those highs and lows should average out.
That, in turn, can save you money. If you only invested when the market was thriving, you'd end up paying a premium for your stocks and spending more over the long run.
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