Regular Savings Strategies

We use the concept of dollar cost averaging into share funds. We believe that regular saving is the best way to get rich slowly, but it has to be done properly without high hidden costs. The best book we have read on the subject is The Wealthy Barber by David Chilton.

The share funds we generally use are volatile share funds, which are ideally suited to dollar cost averaging. The minimum amount to start with is $1000 and then clients can contribute as little as $100 per month.

There is no compulsion in the sense that clients can increase, decrease, or stop contributing, and take all or part of their capital out, at any time.

Anyone using this strategy should be aware that it is critically important to understand that dollar cost averaging works best when the sharemarket is low, and one should never consider selling when the market is low. Anyone who might want or need to sell when the market is low should not start.