Project the future value of a dollar-cost averaging strategy — investing a fixed amount at regular intervals — and see how much comes from contributions versus growth.
How it works
- Enter the fixed amount you plan to invest monthly.
- Set the total duration in months for your DCA strategy.
- Provide an expected annual return percentage to calculate your final projected portfolio balance.
Frequently asked questions
What is dollar-cost averaging?
Investing a fixed amount at regular intervals regardless of price. It reduces the impact of volatility and removes the need to time the market.
What return should I assume?
Historically the US stock market has averaged around 7–10% annually before inflation. Use a conservative figure for planning.
Is DCA better than lump-sum?
Lump-sum investing wins on average because markets trend up, but DCA reduces risk and is practical for those investing from regular income.