I believe that regardless of inflation or other economic uncertainties, adopting a disciplined dollar-cost averaging (DCA) approach aligns well with my long-term financial goals. This strategy involves consistently investing a fixed amount in certain stocks and ETFs I currently hold and have strong conviction in, regardless of their current prices. By investing in increments over time, I avoid trying to time the market, which is notoriously difficult and can lead to emotionally driven decisions that often harm long-term returns.

While inflation can have an impact on both stock and ETF prices—often causing short-term volatility and even price declines—I see this as an opportunity rather than a setback. In inflationary periods, when valuations may be temporarily lower, DCA allows me to buy more shares at a reduced cost. This potentially lowers my average purchase price, helping me accumulate more shares over time and positioning me to benefit from future growth when market conditions improve. In other words, by staying consistent, I’m building a solid foundation for my portfolio regardless of the economic environment.

I also see DCA as a way to remove the psychological barriers that come with investing, especially during volatile times. Committing to a regular investment schedule helps me stay grounded, reducing the tendency to react impulsively to market swings. This approach fosters patience, enabling me to avoid the emotional highs and lows that come with daily price changes and the temptation to chase quick profits or panic sell.

Additionally, I’m focused on the long-term potential and resilience of the companies and ETFs I’m investing in. Despite inflationary pressures, many well-chosen stocks and ETFs represent businesses or sectors that are likely to adapt and grow, whether by passing costs to consumers or finding efficiencies. By choosing investments that align with key economic trends, I believe I’m positioned to benefit from these sectors’ enduring demand and growth potential, even as inflation fluctuates.

Furthermore, dollar-cost averaging aligns with my broader financial philosophy of building wealth through steady, intentional growth rather than taking unnecessary risks. This approach promotes financial stability and peace of mind, allowing me to focus on my financial goals without the stress of constantly monitoring the market. By maintaining a disciplined DCA strategy, I’m making a commitment to prioritize my long-term success over any short-term market noise.

Finally, I view this as a journey of resilience and growth as an investor. By persisting in my investment strategy through challenging times, I’m not only building financial strength but also cultivating my own confidence and bravery. I’m optimistic that staying invested and trusting in my research will pay off in the years to come.