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Strategies & Market Trends : Bob Brinker: Market Savant & Radio Host

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To: Skeeter Bug who wrote (8046)9/20/1998 12:28:00 PM
From: Jeffrey D  Read Replies (2) of 42834
 
***Dollar Cost Averaging***

As you know, dollar cost averaging is an important part of Bob's strategy during high valuation periods in the market. Some guy named the "Stock Surfer" did a study on Bob's strategy using SPY as the test case. His conclusion is that a lump sum approach is a better way to go. See below and I look forward to any comments on this. I think Bob says dollar cost on the dips in the stock price.The "surfer" just used equal amounts on a monthly basis regardless of SPY's price at the time. Jeff

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