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Which platform to use for dollar cost averaging

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Old 12-05-2020, 06:25 PM   #1
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Which platform to use for dollar cost averaging

Which platform is best for dollar cost averaging? Because I realised all the brokerage has a minimum fee, even the lowest is $10.
It doesnít make sense for the $10 fee if I only have a few hundred to invest every month.

Letís say I want to invest $200-$500 every month on etf or some shares which platform is recommended?
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Old 12-05-2020, 06:29 PM   #2
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Fsm rsp is min $1
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Old 12-05-2020, 06:29 PM   #3
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Why donít u save it in high interest savings account until have some meaningful Amt to invest ?
200-500$ /mth will not yield anything Meaningful even if you hit jackpot and double your investment .
Youíll get better returns by reducing your monthly spend.
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Old 12-05-2020, 07:48 PM   #4
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Why donít u save it in high interest savings account until have some meaningful Amt to invest ?
200-500$ /mth will not yield anything Meaningful even if you hit jackpot and double your investment .
Youíll get better returns by reducing your monthly spend.
Not really. $500 per mth is decent if sustained for 30 yrs in a globally diversified portfolio.
E.g. 4.5% compounded
Principal :$180000
Interest : $194904.70
Total : $374904.70

Just use one of the roboadvisor or those regular saving plan.

But I agree, it's not how much you earn but rather the saving rate in % which determines when one can retire.
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Old 12-05-2020, 08:40 PM   #5
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Which platform is best for dollar cost averaging? Because I realised all the brokerage has a minimum fee, even the lowest is $10.
It doesnít make sense for the $10 fee if I only have a few hundred to invest every month.

Letís say I want to invest $200-$500 every month on etf or some shares which platform is recommended?
FSM RSP, or batch into 2-3 months
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Old 12-05-2020, 08:55 PM   #6
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iFast RSP is one of the cheapest.

If you do it $500 each time, it costs you $1 which is around 0.20%.

Do it $1,000 each time (reduce the no. frequency), it costs you $1 which is around 0.10%.
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Old 12-05-2020, 09:03 PM   #7
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Why donít u save it in high interest savings account until have some meaningful Amt to invest ?
200-500$ /mth will not yield anything Meaningful even if you hit jackpot and double your investment .
Youíll get better returns by reducing your monthly spend.
You can treat this RSP like a a low cost endowment or savings plan.

A typical person will not buy an endowment paying thousands of dollars per month.
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Old 12-05-2020, 10:18 PM   #8
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Thank you everyone for the tips. How about between Robo Adviser or RSP which one do you guys prefer and why.
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Old 13-05-2020, 09:23 PM   #9
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They are kind of the same thing, roboadviser preselected the stocks for you. RSP requires your own research and pick.

If you compare the fee roboadviser charges more for the sake of convenience.

You can actually achieve the same by studying what the roboadviser recommends and then do your own RSP investment with brokers like FSM.





Thank you everyone for the tips. How about between Robo Adviser or RSP which one do you guys prefer and why.
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Old 13-05-2020, 09:42 PM   #10
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UT, ETF, Robo Advisor, ILP are pretty much the same to me. Pick a good 1, u earn. Otherwise, u lose.

Last edited by wutawa; 13-05-2020 at 09:51 PM..
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Old 13-05-2020, 10:40 PM   #11
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Not really. $500 per mth is decent if sustained for 30 yrs in a globally diversified portfolio.
E.g. 4.5% compounded
Principal :$180000
Interest : $194904.70
Total : $374904.70

Just use one of the roboadvisor or those regular saving plan.

But I agree, it's not how much you earn but rather the saving rate in % which determines when one can retire.
my analogy is this :
Lets take the blended long term global market returns 9-10% p.a.
if the person wishes to invest $500 per month, the reverse logic is can you save extra >$50/mth (10%)?

If yes, then you already have beaten the market returns. Simple things like eat one less restaurant meal. Or instead of under amour , buy new balance shoes.

This however, cannot be said when you have $50,000 to invest. Now that is a meaningful amount.

Lets be realistic, no one is going to hold and continuously add to a ETF or a roboadvisor for 30years. Hell, i can rather say that these specific instruments in their original form may not even last 30years.

The only reason why i would advise someone to lock away $500/mth, is the same as why for all its evils, there is still a purpose for endowment/whole-life plans. It helps money control for people with weak money management.

Ask yourself, if you see a few extra $10k in your bank account, will you have tendancy to spend it, if yes, then pls do get a regular savings plan or endowment or both. Returns aren't great, but you will be better off then frivious spending it otherwise.
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Old 13-05-2020, 10:45 PM   #12
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What does fsm stands for?
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Old 13-05-2020, 10:47 PM   #13
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my analogy is this :
Lets take the blended long term global market returns 9-10% p.a.
if the person wishes to invest $500 per month, the reverse logic is can you save extra >$50/mth (10%)?

If yes, then you already have beaten the market returns. Simple things like eat one less restaurant meal. Or instead of under amour , buy new balance shoes.
Your analogy is flawed.

One can still spend less frivolously while investing monthly too. One can do both.
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Old 13-05-2020, 10:49 PM   #14
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What does fsm stands for?

fundsupermart
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