# A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
Formula Investing

A term for investment strategies based on predetermined timing or asset allocation to eliminate emotional decisions.

One example of formula investing involves shifting funds from shares to bonds as the stock market rises above a predetermined point, then shifting funds back to shares when the stock market declines.

Another example of formula investing is dollar cost averaging.

 

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