Return
Assuming that the same amount of money is invested each time, the return from dollar cost averaging on the total money invested is
where is the final price of the investment and is the harmonic mean of the purchase prices. If the time between purchases is small compared to the investment period, then can be estimated by the harmonic mean of all the prices within the purchase period.
Read more about this topic: Dollar Cost Averaging
Famous quotes containing the word return:
“Compassion is frequently a sense of our own misfortunes, in those of other men; it is an ingenious foresight of the disasters that may fall upon us hereafter. We relieve others, that they may return the like when our occasions call for it; and the good offices we do them are, in strict speaking, so many kindnesses done to ourselves beforehand.”
—François, Duc De La Rochefoucauld (1613–1680)
“The house waited on your private beach
each day,
when you had the time to return to her.
And you so often had the time,
even when fury blew out her chimney,
even when love lifted the shingles....”
—Anne Sexton (1928–1974)
“Were not ten made clean? But the other nine, where are they? Was none of them found to return and give praise to God except this foreigner?”
—Bible: New Testament, Luke 17:17,18.
Jesus, after healing ten lepers.