If you dollar cost average (invest regularly) in a market, you will benefit when you buy the dip and you will see recent purchases gain value quickly in a rising market. When the market drops substantially and you get your money in on a down day you can also recognize gains quickly.
Consider this: When the market dropped 50% in 2008-2009, investors who bought stock during this time were already well positioned to recoup their investment when the market bounced back. You can benefit percentage-wise from any drop. You buy with the market down 10% and you have a return of 11.1% when it returns to its previous level!
Interested in learning more about the enhanced returns you can get when you buy the dip? Contact one of our financial advisors today for more information.
