Dollar Cost Averaging

Dollar Cost Averaging (DCA) is a periodic investment program that does not guarantee profits or protect against losses in a declining market. The idea is based on continuous investing, counting on fluctuating price levels in order to lower the inherent risk in investing lump sums at one point in time. DCA is different than AutoPay in that all of the money is contributed from the start and placed in a more conservative fund, such as a Money Market fund, and then gradually transferred into higher risk funds.

Default allocations for DCA are set-up from the Allocation link in the Left Navigation menu.

Note: The Deferred Annuity segment must have the Dollar Cost Averaging (DCA) radio button set to Yes if you want to use DCA for the policy.

Note: You cannot select both DCA and Rebalance in the Deferred Annuity segment. You must select one or the other.

set default allocations from left navigation menu

Allocations Link in Left Navigation Menu

Steps to Configure Dollar Cost Averaging (DCA)

Select Allocations link on the Left Navigation menu.
Find the Dollar Cost Averaging section.
Select the number of funds for the FROM FUNDS section.

Select the allocation method from the drop down list.
Select the fund(s) from the drop down list.
Enter the percent to be allocated to each fund.

Select the number of funds for the TO FUNDS section..

Select the allocation method from the drop down list.
Select the fund(s) from the drop down list.
Enter the percent to be allocated to each fund.

Click Save.

DCA fund default allocations

Dollar Cost Averaging Section of Allocation Screen

Update Allocations for a Specific Activity

Allocations can be modified for specific activities. Changes are made through the Activity Detail window. Click the Activity Detail icon next to the activity to open the Activity Details window. Then, click the Allocations link and made the necessary changes.

change allocations in activity window

Allocations Link in Activity Detail Window