Dollar-Cost-Averaging or Ringgit-Cost-Averaging is an investment method whereby investor invest a fixed amount of $$$ on a regular basis rather than invest a whole lump sum of $$$ at one time. By using Dollar-Cost-Averaging method, investor will get more units when the price is low and fewer units when it is high. The benefit of Dollar-Cost-Averaging is investors will own unit trust with prices bought in different stages of a market cycle (regardless of the market condition) thus reducing the average cost of their investment portfolio.
Personally I find that Dollar-Cost-Averaging method is very suitable for me as I find it is very hard to time the market. We had always wish to know when the market had hit the bottom, but in actual, we never know when the time is here. Or, by the time we realised, it is too late and we missed the opportunity. To avoid this problem, I arranged for Standing Instruction (SI) with my bank to deduct a certain amount from my saving account, on a selected date to invest in my desired unit trust. It saves me my time and worries that I would miss the 'buy low' opportunities.
To best compliment my Dollar-Cost-Averaging method, I still enjoy monitoring the market price from time to time and invest additional $$$ when the market price hit certain point which I consider 'low price'. Of course, we hope to get the most from our investment right? Happy Investing!