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Anonymous

14 Jun 2021

General Investing

How frequent should I DCA into Syfe's Equity100 portfolio? Weekly or Monthly? And which day of the week or month should I make the deposit?

Discussion (9)

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thefrugalstudent

14 Jun 2021

Founder at thefrugalstudent.com

Hi Anon,

Since people usually DCA when they get their salary, which is monthly, I'd say you should DCA monthly as well. DCA-ing weekly means that you're holding on to your month's worth of investing money and deploying it 1 week at a time, which is basically timing the market - you hope that some weeks, the market is down so that your whole month's investing can be averaged down. As YJ mentioned, lump sum investing tends to fare better than DCA. So in this scenario, you should deploy your DCA money all in 1 shot.

As for which day of the week/month, I'd say do it 1 day after your pay comes in. This helps to set some discipline in that you won't be able to "accidentally" spend your investing money for the month.

Hope this helps!

Regards,

thefrugalstudent

View 2 replies

1 lump sum is the best. Thus, if DCA-ing best is once you get your $$$, immediately throw into it. So your money can start working for you immediately.

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Tan Choong Hwee

14 Jun 2021

Solutions Specialist at Providend

Doesn't really matter. Can tie to your source of fund. For example, you may DCA monthly after your s...

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