Comments on: The Mole on Lump Sum vs. Dollar Cost Averaging http://www.consumerismcommentary.com/2008/01/16/the-mole-on-lump-sum-vs-dollar-cost-averaging/ A premiere personal finance blog, established 2003. Within, Flexo discusses his own experiences with money, and he and other authors comment on a wide range of personal finance topics. Sat, 21 Nov 2009 16:42:00 -0500 http://wordpress.org/?v=2.8.5 hourly 1 By: Lazy Man and Money http://www.consumerismcommentary.com/2008/01/16/the-mole-on-lump-sum-vs-dollar-cost-averaging/#comment-136279 Lazy Man and Money Fri, 08 Feb 2008 15:48:05 +0000 http://www.consumerismcommentary.com/2008/01/16/the-mole-on-lump-sum-vs-dollar-cost-averaging/#comment-136279 As MDP said, the commissions are important... it's one reason why I put my Roth IRA in all at once and buy an ETF. I have to disagree with the Mole in this case. The SPY ETF (mimics the S&P 500) seems to be at the same price it was in March 2000. The QQQQ ETF (mimics the tech-heavy Nasdaq) is still only about 1/3rd of where it was in March 2000. So if you had portfolio with these in it, you'll have seen your money do nothing. With some dollar cost averaging, you would likely have seen some gains (as is usually the case when comparing with a market high like March of 2000). As MDP said, the commissions are important… it’s one reason why I put my Roth IRA in all at once and buy an ETF.

I have to disagree with the Mole in this case. The SPY ETF (mimics the S&P 500) seems to be at the same price it was in March 2000. The QQQQ ETF (mimics the tech-heavy Nasdaq) is still only about 1/3rd of where it was in March 2000.

So if you had portfolio with these in it, you’ll have seen your money do nothing. With some dollar cost averaging, you would likely have seen some gains (as is usually the case when comparing with a market high like March of 2000).

]]> By: My Dollar Plan http://www.consumerismcommentary.com/2008/01/16/the-mole-on-lump-sum-vs-dollar-cost-averaging/#comment-132928 My Dollar Plan Wed, 16 Jan 2008 19:34:15 +0000 http://www.consumerismcommentary.com/2008/01/16/the-mole-on-lump-sum-vs-dollar-cost-averaging/#comment-132928 You also need to take into account if you are paying commissions. (Say on an ETF trade for example.) It may make more sense to lump-sum it to save on expenses. You also need to take into account if you are paying commissions. (Say on an ETF trade for example.) It may make more sense to lump-sum it to save on expenses.

]]> By: The Money Junkie http://www.consumerismcommentary.com/2008/01/16/the-mole-on-lump-sum-vs-dollar-cost-averaging/#comment-132905 The Money Junkie Wed, 16 Jan 2008 16:46:38 +0000 http://www.consumerismcommentary.com/2008/01/16/the-mole-on-lump-sum-vs-dollar-cost-averaging/#comment-132905 Keep in mind also that if you are lump-sum investing a certain amount of money each year that is technically dollar-cost averaging over the long-term Keep in mind also that if you are lump-sum investing a certain amount of money each year that is technically dollar-cost averaging over the long-term

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