Latest news with #DCA
The Hill
20 hours ago
- Business
- The Hill
Live updates: Trump faces flurry of economic news; Senate Dems push for Epstein files release
LIVE Video: NTSB begins hearings on deadly DCA crash President Trump's economy faces a big day Wednesday, with a second-quarter GDP report and the Federal Reserve's latest interest rate decision coming two days before new tariffs take effect. The Q2 gross domestic product data released early Wednesday showed the economy grew 3 percent, bounding back from the first quarter and exceeding expectations. The Fed will announce its next interest rate move — no change is expected — at 2 p.m., with a press conference from chair Jerome Powell at 2:30 p.m. Trump said Wednesday he was holding firm on his Aug. 1 deadline — that's Friday — for his global tariffs to take effect. He also railed against the tariffs India is charging the U.S. Many countries still don't have a trade deal. Here's which ones. The president on Wednesday is scheduled to sign legislation and to make remarks at a health technology event. Meanwhile, Senate Democrats are looking to force the administration to release the files of Jeffrey Epstein. Senate Minority Leader Chuck Schumer (D-N.Y.) and other Democrats will make remarks on the matter Wednesday afternoon. Tensions among Democrats over how to deal with the Trump agenda boiled over on Tuesday, as Sen. Cory Booker (D-N.J.) laid into his colleagues on the Senate floor. 'This, to me, is a problem with Democrats in America right now, is we're willing to be complicit to Donald Trump,' Booker thundered. Catch up:
Forbes
3 days ago
- Business
- Forbes
How Dollar-Cost Averaging Stacks Up Against Lump-Sum Investing
When building wealth over time, two primary strategies often take center stage: dollar-cost averaging (DCA) and lump-sum investing. While historical data may favor one approach over the other, the most suitable strategy often comes down to risk tolerance, behavioral discipline, and investment time horizon—not just performance alone. Dollar-cost averaging is the practice of investing a fixed amount at regular intervals—typically ... More into mutual funds, ETFs, or individual stocks—regardless of market conditions. What Is Dollar-Cost Averaging? Dollar-cost averaging is the practice of investing a fixed amount at regular intervals—typically into mutual funds, ETFs, or individual stocks—regardless of market conditions. A common example is contributing to a 401(k) plan, where payroll deductions are invested consistently over time. The value of this method lies in its consistency. According to the Securities and Exchange Commission, dollar-cost averaging can result in purchasing more shares when prices are low and fewer when prices are high. It's a way to mitigate the temptation to time the market, which even seasoned investors find challenging As James Martielli, Head of Investment and Trading Services at Vanguard, puts it: 'The practice reduces the risk of bad market timing and potential remorse,' though it is important to note that DCA does not ensure a profit or protect against loss in declining markets. Some investors, however, question the strategy's effectiveness compared to lump-sum investments. It's a worthy debate that warrants further examination. Some investors, however, question the strategy's effectiveness compared to lump-sum investments. ... More It's a worthy debate that warrants further examination. Comparing The Strategies: DCA vs. Lump-Sum Investing Kristin McKenna, a Forbes contributor, points to a Vanguard study revealing that '. . . investing a lump sum outperforms dollar-cost averaging 64% of the time over six months and 92% of the time over 36-months, assuming a 60%/40% portfolio of stocks and bonds.' Why? Because markets have historically risen more than they have fallen. However, during challenging conditions, such as the S&P 500's 38.5% drop in 2008,DCA investors often fared significantly better, experiencing gentler declines. Under those parameters, lump-sum investing at the start of 2008 could've seen $100,000 shrink to $61,500, a nearly 40% drop. Spreading the money evenly through 2008 would have reduced the paper loss to roughly 26%—a difference of about $12,700 on a $100,000 portfolio—according to monthly total-return data from economist Robert Shiller, published by Yale University and available in a cleaned format via Over two decades, lump-sum investing still typically finished slightly ahead, but not by much. Long-Term Performance Over two decades, lump-sum investing still typically finished slightly ahead, but not by much. The Schwab Center for Financial Research compared two theoretical investors between 2001 and 2020: one who invested an annual lump sum, and one who spread the same amount monthly. After 20 years, the lump-sum investor had $135,471, while the DCA investor had $134,856—a negligible difference. Expanding the analysis, Schwab reviewed 76 rolling 20-year periods going back to 1926. In 66 of those cases, lump-sum investing had the edge, but both strategies delivered substantial long-term growth, assuming the investor remained invested. DCA's Hidden Strength If lump-sum investing often results in higher returns, why consider DCA? The answer lies in its behavioral benefits. Consider the dot-com bust in the early 2000s: Investors who committed a lump sum near the market peak may have experienced a painful and prolonged recovery. Meanwhile, those who spread investments over time may have potentially mitigated losses and shortened the emotional strain of recovery. DCA doesn't eliminate downside risk, but it can help reduce the anxiety of investing a large amount ... More at the 'wrong' time. This psychological advantage may encourage investors to stay disciplined during market turbulence—an essential factor for long-term success. DCA doesn't eliminate downside risk, but it can help reduce the anxiety of investing a large amount at the 'wrong' time. This psychological advantage may encourage investors to stay disciplined during market turbulence—an essential factor for long-term success. Key Characteristics Of DCA For many, DCA is not just a strategy—it's a default mechanism built into their retirement plans. Here are a few hallmarks: Because DCA involves gradual exposure, it can be more emotionally manageable for investors concerned about volatility, serving as both a practical application for investing and a tool for peace of mind. DCA can offer a smoother entry into bond markets that are experiencing short-term dislocations, ... More helping reduce timing-related stress even in typically stable asset classes. Bonds And DCA: A Lesser-Known Pairing Equities often grab headlines, but fixed income deserves attention, particularly when using DCA during rate-sensitive environments. Bonds are often '...issued and sold as a 'safe' alternative to the generally bumpy ride of the stock market.' But even they can buckle—just look at the Total Bond Index's 13% drop in 2022. Investors who used DCA through that downturn may have benefited from acquiring bonds at increasingly attractive yields and lower prices. DCA can offer a smoother entry into bond markets that are experiencing short-term dislocations, helping reduce timing-related stress even in typically stable asset classes. The Psychological Benefits Of Consistency Ultimately, retirement planning is as much about peace of mind as it is about portfolio growth. DCA offers investors a sense of control and a steady path forward—even during volatile conditions. By embracing market downturns as buying opportunities, DCA participants can reframe short-term losses as long-term advantages. And because DCA encourages a routine investing habit, it fosters financial discipline and confidence—qualities that often lead to more resilient portfolios over time. While DCA fits many investor profiles, lump-sum investing can make sense in specific scenarios When Lump-Sum Investing Might Be Preferable While DCA fits many investor profiles, lump-sum investing can make sense in specific scenarios: Bottom Line Dollar-cost averaging is more than a method—it's a mindset. For investors who value consistency, long-term focus, and emotional balance, DCA can be a powerful tool. While it may not always outperform lump-sum investing, its behavioral benefits often make it the more sustainable choice. The goal of retirement investing isn't to win a race to the highest return—it's to stay invested long enough to let compounding work over time. For many, DCA provides a path that supports that journey with patience, participation, and perspective as they seek future retirement happiness. For many, DCA provides a path that supports that journey with patience, participation, and ... More perspective as they seek future retirement happiness.
Daily Mirror
3 days ago
- Automotive
- Daily Mirror
Major car finance compensation update due this week - what you need to know
The Supreme Court will deliver its judgment on car finance compensation this Friday, August 1 - we explain everything you need to know, including a separate FCA investigation Millions of drivers could soon find out if they are due compensation over claims of car finance mis-selling with a major Supreme Court decision due this week. The Court of Appeal ruled in October 2024 that car finance customers must be clearly told how much commission would be paid, and they would need to consent to this - otherwise it would be illegal for the lender to pay any commission to the dealer. The car finance firms involved in the case – Close Brothers and Motonovo – then appealed this judgment at the Supreme Court. If the Supreme Court upholds the original Court of Appeal ruling, this could mean people who have previously taken out a car on finance could be due compensation. However, how much could be due, and who exactly would get the compensation, remains to be seen - but lenders have already put aside billions of pounds in the event of payouts. Consumer rights experts including Martin Lewis have also warned that politicians could step in and overturn the ruling. The Supreme Court will deliver its judgment this Friday, August 1. There is also a separate car finance investigation by the Financial Conduct Authority (FCA) - which was launched before the Court of Appeal decision - and this is one is specifically about 'discretionary commission agreements' (DCA). DCAs allowed dealers and brokers to increase the commission they earned by charging customers more through higher interest rates. They were banned in 2021 but the FCA launched a probe in January 2024 to determine if customers should be owed compensation. The outcome of this FCA investigation has been put on hold until the Supreme Court ruling. Martin Lewis website has said that if the Supreme Court rejects the Court of Appeal ruling, it is still likely the DCA claims will go ahead through the regulator. has previously urged anyone who thinks they may have been affected to put in a complaint now, in case a cut-off date for complaints is introduced retrospectively. You should put your complaint in directly to the lender that provided the car finance - not the broker or car dealer where you got your vehicle from. You could end up being eligible for compensation if you weren't told about commission and may have paid too much for your car finance, or if you had a car finance deal that contained a DCA. MSE has a free car finance tool to help you complain. Car finance lenders have until December 4, 2025, to respond to complaints - but again, it is best to put your complaint in sooner rather than later.
Asia News Network
24-07-2025
- Politics
- Asia News Network
Indonesia, Singapore agree to enhance defence ties, including cyber
July 24, 2025 JAKARTA – Indonesia and Singapore have agreed to intensify defense cooperation by increasing joint exercises between their land, sea, air and cyber forces, among other measures, as the two neighbors grapple with navigating the current geopolitical landscape. The enhanced bilateral defense cooperation was agreed on Tuesday at the Defense Ministry in Central Jakarta, where Defense Minister Sjafrie Sjamsoeddin and Vice Adm. Aaron Beng, Chief of Defence Force of the Singapore Armed Forces (SAF), met on the sidelines of the annual dialogue between the Indonesian Military (TNI) and the SAF. Following a stately ceremony to welcome the SAF chief, Sjafrie and Beng discussed practical methods of strengthening the two countries' security ties during their closed-door meeting. According to a statement from the Defense Ministry after the meeting, the agreement is expected to boost the two countries' defense capabilities and support regional security. 'The ministry is optimistic that military interaction between the two countries will only play a more significant role in the future and enhance human resources for both sides,' it said. Volatile geopolitical tensions and a rise in global conflicts in recent years have spooked Southeast Asian countries into bulking up their militaries. Among these efforts, Jakarta and Singapore agreed in 2022 to intensify their security partnership by finalizing the long-awaited defense cooperation agreement (DCA). Indonesia has struggled to modernize and improve its defense capabilities, including in digital space, and is now setting its sights on beefing up its cyber defense capacities with Singapore, which consistently ranks among the world's best in cybersecurity. 'We discussed opportunities in cyber defense,' Defense Ministry spokesperson Brig. Gen. Ferdinand Wenas Inkiriwang said on Tuesday, as quoted by Antara. In its statement, the ministry emphasized that the two neighbors remained steadfast in their commitment to regional stability as the highest priority, underlining the need for dialogue and cooperation to maintain peace and stability in Southeast Asia. Prior to his meeting with Sjafrie, Beng attended the 26th Indonesia-Singapore Combined Annual Report Meeting (CARM-INDOSIN), where the two countries' military leaders held talks on an upcoming strategic agenda and a performance evaluation, as well as enhanced collaboration for intelligence and interoperability. During the CARM-INDOSIN high-level committee session on Tuesday, Beng said the two countries must continue to intensify their cooperation while upholding mutual respect. 'This forum has strengthened our commitment to continue collaborating in building regional stability, as well as deepen the two countries' strategic understanding,' he said.
Agriland
22-07-2025
- Business
- Agriland
Report: European potato market under ‘severe pressure'
The European potato market is under 'severe pressure' this year, according to the Dutch firm, DCA Market Intelligence. The firm has said that the EU potato area is increasing by 77,000ha to a total of 1.47 million hectares, an increase of 5.5%. It claims that the expansion comes while European exports of French fries, and other frozen potato products, are facing significant challenges. DCA has warned that the potential overproduction of processing potatoes could push the current market 'further out of balance'. The Dutch firm said that Germany, France, The Netherlands, and Belgium – the largest potato-growing countries on the European mainland – now cultivate more than 600,000ha of processing potatoes, a 7.5% increase compared to last year. DCA believes the growth is exceptionally large, and stands out as a considerable portion of the additional area is being grown 'without contracts'. It said that farmers, when planning crops last winter, anticipated strong demand and maximised contract options with processors. However, the open market has since collapsed, and processors have scaled back their contract volumes. According to DCA, the harvest could reach over 25 million tonnes, based on average yields. It said that while drought in parts of Europe will likely prevent a record crop, the balance between supply and demand remains under extreme pressure. DCA As a result of the pressure to the potato processing industry, the European fries industry is in a 'difficult position', the DCA stated. There is competition for the sector from other countries, such as India, China, and Egypt, who are capturing market share in Asia and the Middle East through lower costs and improving product quality. According to DCA, Europe is struggling to 'keep up' with the price pressure. In The Netherlands, the contract price for potatoes now accounts for about 40% of the current trade price for French fries. This has led to processors trying to cut costs, while labour and energy prices remain expensive. The DCA found that global demand for French fries continues to rise, but Europe is playing a 'diminishing' role in the growth. A combination of high production costs, mounting competition from low-cost countries, and a surplus of potatoes is putting pressure on the margins of both processors and grower. DCA believes that French fries will remain widely available, but price drops at northwest European supermarkets or fast-food outlets are unlikely. A spokesperson for DCA told Agriland that all data was collected from various official sources such as Eurostat, and the European Commission, and that calculations were made by the firm's analyst.
