► NEW LAUNCH 🔥 In partnership with WeBull stocks trading account! Get Your Free Shares! (T&C applies) Step #1 www.webull.com.sg/i/joshtan Step #2 - Go under open account and use Myinfo. Step #3 - Deposit after application approved! Step #4 Start trade
set up your DCA principle. #1 - 1 entry per month, look at 1wk bar and find the best entry point. #2 - find your average entry price and gauge if the current entry price is optimal #3 - if possible, DCA the low, stop during high (look at your avg price).
Dca is definitely not for trading purposes, it's best to invest regularly at a fixed date and interval, removing market timing and emotion. Good video.
Hi Josh, thanks for the great video! I was just wondering about DCA today and I wanted to ask - is it important to buy in at a fixed date of every month? Due to my schedule I am not able to keep to a certain date but it’s usually plus/minus 2-3 days. Will that impact my portfolio a lot since they say if you miss just 5 best days it already impacts your portfolio? I don’t time the market, it’s just that my schedule causes me to overlook it at times. Thanks as always! You, Kelvin and Chi Keng are my favourite RU-vidrs and I always look forward to your videos!
Thanks Lynn for the high praise. You may miss the best 5 days but you also may miss the worst 5 days. Fixed date automated is definitely fine. Take the emotion out and youd be fine long term =)
@@joshconsultancy I definitely don’t have much emotions when it comes to market downturns.. in fact I’ve been hoping for it so I can snag as much as I can! Will be dropping you an email soon :) thanks for being awesome again!
@@lynnng6516 Hi, commenting cos I feel the same way about downturn, but that is also an emotion by itself (at least for me). I keep feeling FOMO abt not taking larger positions but learning to keep my emotions in check and buy-in gradually.
"Slow and steady wins the race. The market is always there. Don't rush to build your position too quickly. Give yourself some time to acclimatize, and naturally you handle your emotions better, and see good results in your portfolio in the long term." Hey Josh. At the stage where I am rebuilding my investment portfolio, I can't help but get excited seeing the markets correcting like this. I felt really aligned with the statement about (re-)acclimatizing and handling my emotions. Cheers.
Hi Josh, would you be able to advice how to DCA when budget is tight. There are various ETFs like S&P500 which are ~300 per share, and it seems difficult to DCA given my small budget. Assuming i only have $500 budget per month, should I simply purchase 1 share every month? Is this still effective DCA?
Yes but it's on THE JOSH TAN SHOW ► NEW LIVE Q&A "The Josh Tan Show" On Personal Finance: ru-vid.com By Spotify - open.spotify.com/show/7Hdw7jmi6vLvTt7IQP9Bn3
For DCA, a old fren ask me, he have $30K to invest in ETF and he is going to retire in 5 years time, for DCA to work, does he has to spread the 30K he's going to invest into 60 mths or spread it within 12 mths ? Which is preferable. Since he is going to retire in 5 years time, i unable to give a straight answer 😅
The first issue to tackle is retiring in 5 years time. It doesn’t mean once retire sell portfolio. Hold assets like equities even in retirement. Coz it produces dividend income. That part need to understand first 👌🏻
DCA is best as a broad based accumulation strategy which means exit is decumulation in retirement. On the other hand, for stocks it should be based on company changes. Check this ru-vid.com103Q2gvg64E?feature=share
Ive this tutorial that may fit. It explains weekly regular investing Syfe Equity100 Review! 🔥Best way you can dollar cost average (DCA) into global equities? ru-vid.com/video/%D0%B2%D0%B8%D0%B4%D0%B5%D0%BE-GI5h7AX9SvA.html
i think it depends on the emotional calmness of the investor between buying manually vs periodic buying. Sharp drops happen frequently during this bear market and actually in a short span of 1 or 2 days. From Jan when i see the Fed's planned interest rate adjustments due to inflation, I am already expecting a bear market for large parts of 2022. I have been DCAing downwards for every 10-20% drop in the bear market for those fundamentally good growth companies that I foresee that will do well in the long run instead of doing a periodical investment. It just takes a bit of effort for over 2 weeks or less to monitor the decline whenever I am buying in but it is worth the effort since we do not know how long the bear market will last. So far, i have avoided purchasing for any temporary spike to bring down the cost of my portfolio and will continue my DCA with every major drop.
Its hard to proof that DCA automatically is inferior to an approach that monitors 10-20% drop to enter because in a bear, both will pick some up at low points. But if you've success in your method no probs also
@@joshconsultancy it is about consistently averaging down the costs with every purchase in a sustained bear market. The issue when it is done automatically is when it places a order when there is a surge on that day. I think you have seen it in your Alibaba portfolio where it did not buy in at the worst dip of 70+. My DCAing has decreased in frequency to once a month or every 2 months and increasing my value each time when the dip increases. So far, it is working really well as the costs of my portfolio has been decreasing and i have more ammunition to buy more shares at cheaper prices as the market continues to fall even though the companies are still fundamentally strong. This really works in such volatile market where there are more bad news every other day for such a sustained period of time with all the war, interest rate hike news flying around, recession etc.
Towards DCA? No need. Probably better to avoid micromanaging the DCA? Btw have you seen REVEALING My Investment Portfolio Allocation | What Have I Been Investing Into 2022 ru-vid.com/video/%D0%B2%D0%B8%D0%B4%D0%B5%D0%BE-SaqoslT0Xe4.html Cya around
If not wrong cannot (yet). Robo portfolios can. Check Syfe Equity100 Review! 🔥Best way you can dollar cost average (DCA) into global equities? ru-vid.com/video/%D0%B2%D0%B8%D0%B4%D0%B5%D0%BE-GI5h7AX9SvA.html
