Yes, automated investment deposits have several benefits. One is time savings and savings on postage?no deposits to remember to write and mail. All you need to do is make sure that there are sufficient funds in the account that will be debited to purchase fund shares.
In addition, automated deposits (e.g., depositing $50 a month on the 15th of each month) take the emotion out of investing. Deposits are made regardless of market conditions, and you’ll buy more fund shares when prices are low. Making regular deposits at regular time intervals is called dollar-cost averaging, and it has been shown to lower average investment costs over time.
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