Invest a fixed amount, regularly

Dollar-cost averaging means putting the same amount of money in at regular intervals — say monthly — regardless of price. When prices are low your fixed sum buys more shares; when high, fewer. Over time you pay a smoothed-out average price.

Why it helps beginners

It removes the impossible job of timing the market and the emotion that comes with it. You invest automatically through ups and downs, which builds discipline and often keeps you invested during the scary moments when the best long-term opportunities appear.