Dollar Cost Averaging mostly come out from sales personnel mouth, asking clients to stick their heads under the sand, hoping price will recover one day.

Fund managers never practice such thing at all, do you see their portfolio stock increasing in quantity when stock price getting cheaper? Worse thing is some UT don't protect client capital by bailing stock out into safety. If you original cost is 25cents, losing 60% of it means having 10cents now. ONE DAY will hopefully come when from 10cents increasing 250% back to 25cents.

Would you pumpin more money into losing position or business?

No matter how frequent you average down your cost will always be higher than market price during downtrend

you know what the next thing is they start new funds, or increase more units to cover losing positions

This post has been edited by Kinitos: Dec 12 2008, 05:32 PM

UT fund managers are invest using others money not theirs,
Howcome during this recent pronounce months of downturn all UT in theirs interim reports clocking up at least > $100K in brokerage charges? Are they using your money to trade for fun? Or using money training themselves to trade better?. With such heavy trading still not making money?

So what moral of story?
Ppl who clock up the most posting counts, are the smartest ppl here rite?.

Is there any Public Funds not "under water" despite regional equity market has risen at least 30%.

Is there any Public Funds declaring distribution non stop over pass 3 years?

90% of investors lose money,
Only 10% make money.

90% = Public Mutual investors
10% = Public Mutual agents

PM got any fund, where prices go up very fast but come down very slowly?