Basic Investment Concepts
- Time Value of Money
- The Power of Compound Interest
- Dollar-Cost Averaging
- Pre-tax, After-Tax, Tax-Deferred, and Tax-Free
- The Effects of Inflation
Dollar-Cost Averaging
Dollar-cost averaging refers to a method of investing a fixed amount of money over time that reduces the risk of buying investments when prices are higher than average. The theory is that you buy fewer shares when the price per share is higher, and more shares when the price per share is lower.*
Investing in a 401(k) plan is a way to dollar-cost average, since the same contribution is deducted from your paycheck each pay period. Dollar-cost averaging is a common investment strategy, and your 401(k) plan lets you do it easily.
*Dollar-cost averaging cannot guarantee a profit or protect against a loss, and you should consider your financial ability to continue purchases through periods of low price levels.
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Important information about procedures for opening a new account
To help the government fight the funding of Terrorism and money laundering activities, Federal law requires all financial institutions to obtain, verify and record information that identifies each person who opens an account.
What this means to you: When you open an account, we will ask you for your name, address, date of birth and other information that will allow us to identify you. We may also ask to see your driver's license or other identifying documents.
Investment products are offered through Osaic Institutions, Inc., Member FINRA/SIPC. Insurance products offered through Osaic Institutions, Inc.