FYI: At some point in their lives, investors may receive a large sum of cash, such as a pension payout or inheritance. Finance theory and historical evidence suggest that the best way to invest this sum is all at once according to an investor’s asset allocation. Many investors nevertheless choose to put the money
to work over time, a systematic implementation plan that is commonly referred to as dollar-cost averaging. We explore the benefits of both strategies, quantify the costs, and reach three conclusions that can guide decision-making.
Regards,
Ted
http://www.etf.com/sections/etf-industry-perspective/vanguard-invest-now-or-temporarily-hold-your-cash?nopaging=1
