facebookDCA into ETF to compound, or invest in stocks and crypto to gather larger capital to compound in ETFs? - Seedly

Anonymous

25 Aug 2021

Robo-Advisors

DCA into ETF to compound, or invest in stocks and crypto to gather larger capital to compound in ETFs?

Would you DCA 2k every month straight into S&P / Syfe to compound consistently, or put the 2k into stocks/crypto hoping to grow it into a larger sum to then put into ETFs?

Currently have 22k in stocks and some crypto but wondering if it is a good alternative doing this instead of DCA to ETFs so reach the point where profits from compound interest starts to be significant.

Thanks in advance for your opinion!

Discussion (1)

What are your thoughts?

Learn how to style your text

Billy

25 Aug 2021

Development & Acquisitions Manager at Real Estate Private Equity

I would suggest the former methodology simply for the fact everything is spelled out very clearly - $2K each month.

If you were to go for the latter, I foresee additional considerations

  1. How much do you consider a larger sum?
  2. What is your ultimate goal of this sum of money? To put in lumpsum into ETF? Then you will face the question of "When is the right time to buy"

Unless you're brilliant at stock-picking, DCA-ing each month serves as a hedge and a form of discipline also.

Write your thoughts