Abstract:
The Dollar Cost Averaging is a strategy based on periodic investment of a fixed amount of money, even small one, into a stock or a portfolio each interval over a given period of time. In this way it may be possible to reduce the volatility effects on the market, since each payments could be done both with positive and with negative conditions. What if the investment is not regular in time, but changes according to the market trend? This thesis project aims to compare the standard Dollar Cost Averaging with a suited plan. The amount of money for each instalment will be kept the same as for the standard plan, what will be changed is the instant of time of each investment, that it will be chosen according to the market trend.