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:
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Then shall the dust return to the earth as it was: and the spirit
shall return unto God who gave it.
Vanity of vanities, saith the preacher, all is vanity.”
—Bible: Hebrew Ecclesiastes (l. XII, 6–7)
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“Yet I shall never return to the past, that attic.”
—John Ashbery (b. 1927)