Education Centre

Learning path for self-directed investors who want to know more about financial markets and investing

Periodic investing

We strongly advise against trying to time the market – that is, attempting to guess the perfect moment to invest. Markets are volatile and it is often more profitable to purchase safer investments over the long term, rather than trying to sync a future boom.

It may sound logical to you to exit the market when forecasts are low and to come back when there’s a reason to be optimistic. However, by doing so, you risk losing out on the best days of the market, which can turn out to be quite costly over time.

Instead, make sure you maintain a good strategy over time, all the while adjusting your allocation in accordance with changes in your life. The important thing is not when to enter the market, but how long you hold an investment. As such, investing as early as possible is better to take advantage of the compound growth effect over time.

Periodic investing is a simple and effective way to grow your assets and take advantage of potentially positive returns. By investing a pre-determined amount every week (or every two weeks, or once a month); it is possible to seize opportunities in the market. This strategy allows you to purchase more shares when they are low so that, over a long period, you can reduce their average cost. It is a proven investment strategy referred to as “Dollar Cost Averaging”.

The periodic trading strategy also makes it possible to save a small amount of money on a regular basis, which in turn turns investing into a routine.

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