A $10,000 position moving 10% changes by $1,000; dollar-cost averaging helps place that movement in the context of the wider portfolio.
Risk & Portfolio
Dollar-cost averaging
Investing set amounts at regular intervals regardless of price; it does not assure a profit or prevent loss.
Plain-English context
Why it matters
This concept helps describe how one position or behavior can affect the resilience of an entire portfolio.
Assuming Dollar-cost averaging removes risk rather than describing or redistributing part of it.
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