Sun Life Guaranteed Investment Funds (GIFs) - Effective April 24, 2023, the Deferred Sales Charge (DSC) option and Low Load (LL) Sales Charge option will no longer be available for new purchases. Switching from a fund previously purchased under DSC or LL Sales Charge options to other DSC or LL funds, will continue to be permitted.

Please select one of the following:


For Clients:

For Advisors:

Please select one of the following:


For Clients:

For Advisors:
Close search  
  • Please enter a search term.

Please select your language preference on the right hand side

Languages - Canada

  • English
  • Français
Back
Regions
Language
  • English
  • Français
Skip to signin Skip to main content Skip to footer
Sunlife logo
  • Practice management consulting
  • Applications & forms
  • Contact us
  • CANADA | EN
  • Search
  • Products

    New! Check out our enhanced Fund Pages

    Mutual funds

    • Overview
    • Sun Life Granite Managed Solutions
    • Sun Life Private Investment Pools
    • Sun Life Tactical ETF Portfolios
    • Sun Life Milestone Funds
    • Sun Life MFS Funds
    • Emerging Markets Funds
    • Private Client Pricing

    Segregated funds

    • Overview
    • Sun GIF Solutions
    • Sun Lifetime Advantage
    • Investment options
    • Sun Life GIFs Products no longer for sale

    Payout annuities

    • Overview

    Insurance GICs and Trust GICs

    • Overview
    • Insurance GICs
    • Superflex
    • Income Master
    • Trust GICs
    • Sun GIC Max
    • SLF Trust GIC
  • Performance

    Mutual funds

    • Overview
    • Daily prices
    • Performance
    • Ratings
    • Fund codes

    Segregated funds

    • Overview
    • Daily prices
    • Performance
    • Ratings
    • Fund codes

    Insurance GICs and Trust GICs

    • Rates
  • Insights

    Commentary

    • All
    • Market updates
    • Portfolio insights
    • Videos & podcasts
    • Advisor knowledge hub

    Investor education

    • All
    • Getting started
    • Understanding market volatility
    • Saving for retirement
    • Your retirement income
    • Tax & estate planning

    Women's Investment Community

    • All
    • Invest in yourself
    • Industry trends
    • Invest in your health
  • Resources

    Quick Links

    • MySunLifeGIFS tool – Client
    • MySunLifeGIFS tool – Advisor

    Applications & forms

    • Overview
    • Mutual funds
    • Segregated funds
    • Payout annuities
    • Insurance GICs & Trust GICs

    Investor resources

    • Market volatility
    • Retirement Hub

    Tools & calculators

    • Overview

    Mutual Funds

    • Mutual fund illustration tool
    • Granite Solutions tool
    • Series T calculator

    Segregated Funds

    • Choose your path
    • Current income rates
    • Investment GIF e-App
    • Sun Life GIFs Proposal tool

    Advisor marketing & resources

    • Segregated funds marketing
    • Fund reviews
    • Payout annuities advisor resources
    • Trust GICs advisor resources
    • Insurance GICs advisor resources
    • Multi-product conversations

    Regulatory documents

    • Fund facts
    • Financial statements
    • Management Reports of Fund Performance and Quarterly Portfolio Disclosure
    • Simplified Prospectus
    • Proxy voting
    • Independent Review Committee (IRC) report
    • Passive Foreign Investment Company (PFIC)
  • About us

    Our story

    • Who we are
    • Investment management
    • Leadership
    • News releases
    • In the media

    Sustainability

    • Sustainability commitment
    • Responsible investing
    • Climate action
    • Governance & engagement
    • Diversity, equity & inclusion

    In the community

    • Livebright Scholarship Program
Sign In
Skip to signin Skip to main content Skip to footer
sunlife logo
Sign In
  • Please enter a search term.
  • Products
    • Back
    • Products
    • Products Overview
    • Sun Life Granite Managed Solutions
    • Private Investment Pools
    • Sun Life Tactical ETF Portfolios
    • Sun Life Milestone Funds
    • Emerging Markets Funds
      • Back
      • Emerging Markets Funds Overview
      • Inside India
    • Private Client Pricing
      • Back
      • Private Client Pricing Overview
      • Private Client Program Announcement
    • Sun Life Guaranteed Investment Funds (GIFs)
      • Back
      • Sun Life Guaranteed Investment Funds (GIFs) Overview
      • Sun GIF Solutions
      • Sun Lifetime Advantage GIF
      • Sun Life GIFs Products no longer for sale
      • Sun Life GIFs Investment options
      • Sun Life GIFs Products no longer for sale
    • Payout annuities
      • Back
      • Payout annuities Overview
      • Life annuities
      • Term certain annuities
    • Insurance GICs and Trust GICs
      • Back
      • Insurance GICs and Trust GICs Overview
      • Trust GICs
      • Insurance GICs
    • Sun Life MFS funds
      • Back
      • Sun Life MFS funds Overview
      • Thank you
    • Retirement planning
  • Performance
    • Back
    • Performance
    • Performance Overview
    • Mutual funds
      • Back
      • Mutual funds Overview
      • Distributions
      • Guaranteed values per unit
      • Historical Prices and distributions
      • Overview
      • Fund codes
      • Ratings
      • Performance
      • Daily prices
    • Segregated Funds
      • Back
      • Segregated Funds Overview
      • Historical prices
      • Daily prices
      • Performance
      • Fund codes
      • Overview
      • Ratings
    • Insurance and Trust GICs
      • Back
      • Insurance and Trust GICs Overview
      • Rates
  • About us
    • Back
    • About us
    • About us Overview
    • Who we are
    • Investment management
      • Back
      • Investment management Overview
      • MFS
      • Aditya Birla Sun Life Asset Management Company Pte. Ltd.
      • Nuveen
      • JPMorgan Asset Management Canada Inc
      • KBI Global Investors
      • Schroders
      • Dynamic Funds
      • BlackRock
      • Wellington Management
      • Lazard Asset Management Canada Inc.
      • Amundi Asset Management
      • SLC Management
      • Crescent Capital Group
    • Leadership
    • LiveBright Scholarship Program
    • News
    • In the media
    • Responsible investing
    • Diversity, equity and inclusion
    • Sustainability commitment
      • Back
      • Sustainability commitment Overview
      • Climate Action
      • Governance & engagement
    • Disclosures
  • Insights
    • Back
    • Insights
    • Insights Overview
    • Commentary
      • Back
      • Commentary Overview
      • Videos & podcasts
      • Market updates
      • Portfolio insights
      • Advisor knowledge hub
    • Investor education
      • Back
      • Investor education Overview
      • Understanding market volatility
      • Getting started
      • Saving for retirement
      • Your retirement income
      • Tax & estate planning
    • Women's investment community
      • Back
      • Women's investment community Overview
      • Invest in yourself
      • Industry trends
      • Invest in your health
  • Resources
    • Back
    • Resources
    • Resources Overview
    • Advisor tools and calculators
      • Back
      • Advisor tools and calculators Overview
      • Series T calculator
      • Granite Managed Solutions proposal tool
      • Investment illustration tool
      • Current income rates
      • Choose your path
      • My SunLifeGIFS tool
      • Investment GIF e-App
      • Accumulation
      • Decumulation
    • Applications and forms
      • Back
      • Applications and forms Overview
      • Sales process tips and reminders
      • Advisor forms - flattened versions
    • Fund reviews
      • Back
      • Fund reviews Overview
      • Sun Life MFS International Value Fund
      • Sun Life MFS U.S. Growth Fund
      • Sun Life MFS Global Growth Fund
      • Sun Life Schroder Emerging Markets Fund
      • Granite Managed Portfolios Tactical Update
      • Sun Life Wellington Opportunistic Fixed Income Private Pool
      • Sun Life Core Advantage Credit Private Pool
      • Sun Life KBI Global Dividend Private Pool
      • Sun Life Real Assets Private Pool
      • Sun Life MFS International Opportunities Fund
      • Sun Life Granite Managed Portfolios
      • Sun Life MFS Global Value Fund
      • Sun Life MFS Global Total Return Fund
    • Regulatory documents
      • Back
      • Regulatory documents Overview
      • Fund facts guide
      • Sun Life GIFs Fund Facts
    • Segregated funds marketing
      • Back
      • Segregated funds marketing Overview
      • Segregated funds – Industry best practices for meeting clients’ needs
    • Payout annuities advisor resources
      • Back
      • Payout annuities advisor resources Overview
      • Premium source and available annuity types
      • Payment options
      • Maximum deferral periods
      • Guaranteed period
    • Trust GICs advisor resources
      • Back
      • Trust GICs advisor resources Overview
      • TFSA held by non-residents Max
      • Tax-Free Savings Account (TFSA) - Taxation upon death
      • Taxation on non-registered
    • Insurance GICs advisor resources
      • Back
      • Insurance GICs advisor resources Overview
      • Superflex/Income Master, Sun GIC Max and GIC - Comparison
      • New applications - Rate commitments
      • Subsequent cheque deposit - Investment instructions
      • Accrued income
      • Adjusted Cost Basis (ACB) - Deferred annuities
      • Annuitization
      • First sixty-day receipt information for Superflex and GIC products
      • General tax info for TFSA
      • Marriage breakdown and removal of spousal designation
      • Non-registered taxation of surrenders or withdrawals for non-residents
      • Non-residents - Non-registered annuity
      • Pension tax credit
      • Tax slip and receipt mailing schedule for all Individual products
      • Withholding tax on withdrawals from an RRSP
      • Withholding tax rates around the world
      • Six things you need to know about Insurance GICs
    • Solve for Client risks
  • Register
    • Back
    • Register
    • Register Overview
    • Registration Details
    • Email address Confirmation
  • Our commitment to achieving net-zero greenhouse gas emissions by 2050 or sooner
  • CANADA | EN

    Please select your language preference on the right hand side

    Languages - Canada

    • English
    • Français
    Back
    Regions
    Language
    • English
    • Français
  1. Home
  2. Insights
  3. Investor education
  4. Saving for retirement
  5. The pros and cons of dollar-cost averaging
Share this:
  • Share this on Facebook
  • Share this on Twitter
  • Share this on Linkedin

Investor Education

June 21, 2023

The pros and cons of dollar-cost averaging

Not sure about how to invest your money? Dollar-cost averaging can be a good choice if you have a long-term investment horizon. This article covers the pros and cons to consider.

The pros and cons of dollar-cost averaging

Dollar-cost averaging is the practice of investing a consistent dollar amount into a given investment on a regular basis. This allows you to invest no matter how well the markets are performing. However, as is the case with any investment strategy, you need to consider the potential pros and cons. It will help you to decide whether it’s the right way to invest for you.

Pros

  • Ensures disciplined investing to potentially save more. With a consistent dollar amount invested regularly, such as through pre-authorized deposits, you may find that you don’t need to think about your investment strategy all the time. Or worry that you’ve forgotten to contribute. Dollar-cost averaging thereby becomes a simple, hassle-free way to be a disciplined saver. Further, because you are consistently investing, this approach may allow you to save more money over time.
  • Reduces the effects of market volatility. Whether periodic purchases are scheduled weekly, monthly, or quarterly, they come with the certainty that unit prices each time you buy will differ. This may lower the average cost of investing and allow you to purchase more units. It will also reduce the effects of volatility on your portfolio.
  • Avoids the stress of market timing. Traders and other financial professionals time the market as part of their strategy. Most individual investors find this practice stressful and are rarely successful. It’s not easy to time optimal moments to buy or sell. Dollar-cost averaging helps mitigate worry because you’re not trying to time the market.

Cons

  • Possible loss of return. When markets are rising steadily, you may miss out on certain gains when making several smaller purchases at different times. However, over the long term, the strategy of dollar-cost averaging reduces this risk.
  • Patience is important. Dollar-cost averaging offers the greatest benefit to investors who have a long-term investment horizon and can afford to be patient. Especially if they started such a discipline early on in life. If you don’t have a long-term investment horizon, it may not be the best way for you to invest.

In short, dollar-cost averaging can be an attractive option for investors who:

  • are investing with a long-term horizon,
  • can afford to be patient,
  • want to invest hassle-free with a disciplined approach.

To ensure that dollar-cost averaging is the right option for you, talk to an advisor. They’ll assess your situation. And then confirm that this approach makes sense for you and consider your financial objectives and risk profile.

Here are some products to consider with a dollar-cost averaging strategy:

Sun GIF Solutions DCA Daily Interest – Investment Series
Sun Life MFS Global Growth Fund
Sun Life KBI Global Dividend Private Pool

The information contained in this document is provided for information purposes only and is not intended to represent specific individual financial investment, tax or legal advice nor does it constitute a specific offer to buy an/or sell securities. While the information contained in this document has been obtained from sources believed to be reliable, SLGI Asset Management Inc. cannot guarantee its accuracy, completeness or timeliness. Information in this document is subject to change without notice and SLGI Asset Management Inc. disclaims any responsibility to update it.

Learn how we are making environmental, social and governance (ESG) factors a key part of our investment strategy

  • Follow us on Twitter
  • Follow us on LinkedIn
  • Follow us on YouTube

Quick links

  • Advisor sign-in
  • Client sign-in
  • Find a form
  • Newsroom
  • Rates

Regulatory Documents

  • Fund Facts
  • Information folders & contracts and supplements
  • Management Reports of Fund Performance and Quarterly Portfolio Disclosure
  • Simplified Prospectus and Annual Information Form
  • Proxy voting
  • Independent Review Committee report
  • Passive Foreign Investment Company (PFIC)

Plan sponsors, consultants & group advisors

  • Institutional investor site

Contact us

  • For all questions and inquiries, please contact us

SLGI Asset Management Inc. is the investment manager of the Sun Life family of mutual funds.  Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the fund’s prospectus. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated.

Sun Life Assurance Company of Canada is the issuer of accumulation annuities (insurance GICs), payout annuities and individual variable annuity contracts (segregated fund contracts).  Any amount that is allocated to a segregated fund is invested at the risk of the contract owner and may increase or decrease in value.  Sun Life Financial Trust Inc. is the issuer of guaranteed investment certificates.

Sun Life Global Investments is a trade name of SLGI Asset Management Inc., Sun Life Assurance Company of Canada and Sun Life Financial Trust Inc. all of which are members of the Sun Life group of companies.

  • Legal
  • Privacy
  • Security
  • Fraud
  • Accessibility

© SLGI Asset Management Inc., Sun Life Assurance Company of Canada, and their licensors. All rights reserved.