An investment strategy designed to reduce volatility in which securities, typically mutual funds, are purchased in fixed dollar amounts at regular intervals, regardless of what direction the market is moving. Thus, as prices of securities rise, fewer units are bought, and as prices fall, more units are bought. also called constant dollar plan. also called dollar cost averaging.
Related information about constant dollar plan:
- Constant dollar plan - Wikipedia, the free encyclopedia
When institutions first started to invest in the stock market, one of the first types of plan devised was the constant ratio plan, often called rebalancing. Another type ...
- What is constant dollar plan? definition and meaning
Definition of constant dollar plan: An investment strategy designed to reduce volatility in which securities, typically mutual funds, are purchased in fixed dollar ...
- Constant-Dollar Plan - Financial Dictionary - The Free Dictionary
Method of purchasing securities by investing a fixed amount of money at set intervals. The investor buys more shares when the price is low and fewer shares ...
- constant dollar plan
An investment strategy designed to reduce volatility. This strategy involves...
- constant dollar plan - Business Definition
constant dollar plan definition: A formula plan for investing in which a constant dollar amount is kept in stocks, with other investments in bonds or short-term ...
- Portfolio Revision Formula Plans 2: Constant-Dollar Plan - YouTube
Jan 12, 2011 ... This episode discusses the Constant-Dollar portfolio revision strategy. It is simple to understand and has twin objectives of capital gains and ...
- Formula Investment Plans: Dollar-Cost Averaging, Constant-Dollar ...
The constant-dollar plan, which is also sometimes used synonymously for ... The constant-ratio plan is similar to the constant-dollar plan in that they both consist ...
- constant dollar plan : defined at Finance Glossary
constant dollar plan : A plan which enables investors to accumulate shares in a mutual fund by purchasing them on a regular basis (for example monthly) with a ...