What strategy is most cost-effective right now: lump-sum vs DCA when it comes to buying individual stock vs ETFs?

Lump sum is definitely more cost effective but this method is not for everyone. By doing lump sum investing now, you are buying into the probability that prices will go above current levels in the future. For those that are uncertain, they can DCA and average down the price during the market downturn. Of couse, this will incur some opportunity costs.​​​

Hi anon,

This question can only really be answered if we have a crystal ball to tell the future, which we don't.

If we knew how the markets were going to move, then lump sum going in at the lowest point would always be the best strategy. But since we don't, then you can reduce the uncertainity by ensuring that you have a disciplined investment methodology (i.e. DCA) and deploy into the market over time. Personally I also invest lump sums on an ad-hoc basis whenever there are pockets of opportunity that I have identified, over and above my DCA.