I somewhat stupidly have a bunch of money saved up in a HYSA (~100k). I don’t think I attacked personal finance correctly but now am wanting to get on track. My dilemma is: do I just dump all that money into ETFs or try to dollar cost average or what? (Partially confused cause the market is hitting all time highs right now- wish I had been dollar cost averaging this whole time but here we are)

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The market will always reach new all-time highs given a long enough timeframe. Dollar cost averaging is merely a way to stay invested when the markets go down, taking advantage of lower prices when they come, while not panic selling at lows and losing out on the inevitable recovery.

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27 so I do have some time

I would break it into 5 chunks and every 4-6 weeks dump another chunk in the market on a day that it’s down a bit from the day before. That way you are getting it all in quickly (5-6 months) but also don’t have the fear of dumping it all in at the all time high. Statistically it makes sense to dump in all at once right now since the market goes up over time, but psychologically I do better with something like I suggested.

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Lump sum is statistically the better decision but emotionally and practically it could be tough to do. If based purely on math then do the lump sum. If that freaks you out then DCA over however long a period you decide. If you DCA, stick with it and don’t change the plan. Otherwise you are simply trying to time the market which is not advisable.

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