Author Topic: Periodic Top Up strategy  (Read 1623 times)


  • 5 O'Clock Shadow
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  • Posts: 23
Periodic Top Up strategy
« on: May 09, 2015, 01:34:01 AM »
I get periodic lump-sum incomes that I am regularly putting into both my tax-deferred pension pot, and taxable investment accounts. I am 33, and planning with at least 20 years horizon and have 85% in equities.
I could use my lump-sums to invest according to my original allocation plan, without thinking much about what funds are in Blue (i.e showing gains since my first investment) or Red (fallen in value).
Instead I am inclined to spread my lump sum on the Reds.  I am worried about some of the blue ones being too overvalued e.g (China) or unstable (Europe).

Is this a reasonable approach? After all, what I am doing is constantly buying low. Isn't it?

Any wisdom will be appreciated. thanks.


  • Walrus Stache
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  • Posts: 7379
  • Senior Mustachian
Re: Periodic Top Up strategy
« Reply #1 on: May 09, 2015, 07:38:58 AM »
Just buy in accordance with your asset allocation plan. If you want to be 60 in something and 40 in something else, and you're currently 62/38, then buy the 38 with your next purchase. It will keep you where you want to be and will help you buy low.