Strategies
Monthly saving, rebalancing, and the truly wise principles
Depositing the same amount every month — regardless of what the market does — is called . It might be the single most important trick in all of investing.
Why it works
When the market falls, your monthly deposit buys more shares. When it rises, it buys fewer. You automatically buy low and avoid buying high. You also skip the anxiety of picking the 'right' moment — there never is one.
Automate everything
Set up a from your paycheck into an . Same day every month. Then the money disappears from view. Check back in 10 years and you'll be shocked — in a good way.
Which one wins depends on the market. In this example they're close — that's typical. The point is: both work. Getting started matters more than picking the "right" method.
Automate monthly saving into a global index fund. Set it up and forget about it. That's the superpower.
What happens to monthly saving when the market falls?