Course Solutions Uncategorized (Answered) : This Question: 1 pt 11 of 51 (0 complete) ▼ This Tes: 51 pts possible Dollar-cost averaging has which of the following advantage

(Answered) : This Question: 1 pt 11 of 51 (0 complete) ▼ This Tes: 51 pts possible Dollar-cost averaging has which of the following advantage

This Question: 1 pt 11 of 51 (0 complete) ▼ This Tes: 51 pts possible Dollar-cost averaging has which of the following advantages over lump-sum investing? OA. Increased dividends O B. Increased diversification ° C. Reduces market timing risk OD. Lower transaction costs

Expert Answer


C. Reduces market timing risk

Dollar cost leveraging is the practice of investing small amount of sums at regular interval of time, whereas lump investing is investing the total sum all at once. Therefore, by dollar-cost leveraging, the investor gets entry at multiple price points, and an average price over a period of time is

OR

PayPal Gateway not configured

OR

PayPal Gateway not configured

Leave a Reply

Your email address will not be published. Required fields are marked *

Related Post