BASIC TRAINING
Fit Tip # 2:  Dollar Cost Averaging

Dollar cost averaging works! Several commentators have suggested that when markets are down, you should not try to average down. Bunk! With Mutual Funds, it always pays to buy when the prices are down. If you buy individual stocks, you might run into trouble if the company is in decline. But good quality Mutual Funds will always recover and increase in value. So why not buy when the fund is on sale? The chart below shows how you will increase your unit holdings as the price goes down - investing a fixed amount on a regular basis always pays off. You will end up having more units as the market recovers.

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