facebookWith regards to Syfe Equity100, does it matter whether I put $100/month for the next 20 months or put $2000 in one shot into my portfolio now? Will it affect the performance? Does timing matter? - Seedly

Justina

15 Sep 2020

Robo-Advisors

With regards to Syfe Equity100, does it matter whether I put $100/month for the next 20 months or put $2000 in one shot into my portfolio now? Will it affect the performance? Does timing matter?

Discussion (3)

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With the market being a bit erratic, you can consider spreading out your investment, such as $400 every 2 weeks, or $500 every month instead of $2000 one shot if that worries you. :)

Eliezer

01 Sep 2020

Content & Community Lead at Syfe

Hi Justina, thanks for your interest in Equity100! Mathematically speaking, investing a lump sum has historically produced higher long-term returns than dollar cost averaging (DCA).
But the truth is that investing a large sum all at once can be quite nerve-wrecking because nobody knows how the market will behave the next day, week or year. DCA can be an effective way to reduce the fear of investing at the wrong time, and ensure that you start investing as soon as you can.

Ultimately, there's no right or wrong answer, though the DCA approach should appeal to investors who aren't comfortable with making a large investment straightaway. If you'd like more personalised advice, please feel free to have a chat with our friendly wealth advisors!​​​

Over the decades, the market performance is on the uptrend so it can be arguable said that the earli...

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