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English definition of “cost averaging”

cost averaging

noun [U]
 
 
STOCK MARKET regular investment of a fixed sum of money so that you buy more shares when the price is low and fewer shares when the price is high: dollar/pound, etc. cost averaging With pound cost averaging you even out the peaks and troughs of the share price during the year.
(Definition of cost averaging from the Cambridge Business English Dictionary © Cambridge University Press)
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