Simulate dollar-cost averaging strategy across regular intervals.
DCA reduces timing risk by spreading purchases across market conditions. See how disciplined monthly investing compares with lump-sum deployment across historical periods.
Core Formula
Avg. Cost = Total Invested / Total Shares Acquired
Is DCA better than lump sum?
Over long horizons, lump-sum investing typically outperforms DCA. DCA excels when markets are volatile or when you inherit capital gradually.
What interval should I use?
Weekly or monthly rebalancing works well for most long-term investors. Keep the schedule consistent to remove emotion.
* All calculations above are theoretical estimates. Actual returns vary based on market performance, fees, taxes, inflation, and economic factors. This tool is for educational purposes only — not financial advice.
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Dollar-Cost Averaging and lump-sum investing are often framed as rivals, but the 2026 data tells a more nuanced story. One wins more often — but the other protects against behavioral mistakes that destroy more wealth than market volatility ever could.
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Ads are from third parties. CompoundFig does not endorse advertised products and is not responsible for their claims. Our calculators remain independent educational estimates.