I’ve read that if you have the money up front, investing it as a lump sum on January 1st will produce higher returns more often that investing on a monthly/weekly basis. Is there more to consider in 2024 with our current high interest rates?
I’ve read that if you have the money up front, investing it as a lump sum on January 1st will produce higher returns more often that investing on a monthly/weekly basis. Is there more to consider in 2024 with our current high interest rates?
Typical long term gains for an Ira mutual fund is 10%. Current high yield interest accounts are around 5%. If you put everything in at the beginning of the year, it has the whole year to earn double what it would in a high yield savings account. If you put it in each month, then only 1/12 of it is earning extra returns for the whole year.