Public App auto invest

Public App Automatic Investing Plan (Dollar Cost Averaging)


2022: Does Public.com brokerage offer automatic investment plan (AIP) contributions? Public app dollar cost averaging program (DCA) setup and review. Weekly/monthly/quarterly recurring investing in ETFs, stocks, and mutual funds.



Public.com Brokerage Automatic Investing Program


Dollar cost averaging is a tried and true method of shielding an investment portfolio from large drawdowns. DCA is achieved through making numerous smaller investments in the same security over time. As with many other long-term investment strategies, the value that comes from dollar cost averaging is realized more and more as time goes on. Keep reading to see how investors at Public app can dollar cost average.


Dollar Cost Averaging at Public App


To begin, it should be said that dollar cost averaging at Public.com is a hands-on affair. There are no automated investment tools or services available. There are also no recurring investment options for stocks or ETFs on the platform. To take advantage of dollar cost averaging, therefore, traders should actively buy into securities within their portfolio at regular intervals. Whether ‘regular’ means weekly, monthly, quarterly, or anywhere in between, it will be a manual process in any case.

That is not to say that investors cannot employ the DCA approach at Public app but there are some psychological factors involved in buying stocks that are trending down and it can be a bit difficult at times to decide how much of your investment capital should go to particular securities within your portfolio. It is good to be mindful of that and possibly employ an automatic approach that follows a preconceived plan.

Below, we will cover some of the ways that you can utilize Public.com for dollar cost averaging. But first, let’s discuss why DCA is so popular among investors.


Dollar Cost Averaging Description


In short, dollar cost averaging is the act of making regular, ‘smaller’ investments in the same stock, fund, or ETF over time. Doing so establishes a full position over time and over a variety of entry prices. The result is an average entry price that is not at the extremes of price movement.

The idea behind DCA is that the stock market increases in value over time, despite dips and peaks. By achieving an average entry price, expecting to earn a percent return similar to the yearly or multi-year performance of the security itself becomes more realistic.

As a result, dollar cost averaging is an investment strategy that favors a long-term outlook and that attempts to flatten the effects of volatility.


Setting Up Your Account for Dollar Cost Averaging


At Public app, there is not a lot that investors need to do to set up their account for dollar cost averaging. As there are no recurring investments or automated investment programs, there isn’t much to set up.

Investors who are interested in dollar cost averaging should make regular deposits and add to their positions. Fractional shares, called ‘Slices’ at Public app, make it easy to add to positions based on percentage weighting, which is nice.

There is one more feature that could be considered here and that is dividend reinvestment. To enable dividend reinvestments, traders must use the app instead of the web interface. The options to enable dividend reinvestment are pictured below:


Public App Dividend-Reinvestment

Public App Dividend-Reinvestment

Public App Dividend-Reinvestment

Public App Dividend-Reinvestment


Securities Available


At Public app, there are two primary means of investment: stocks and ETFs. Among these, there are many variations, and traders can easily create a portfolio that suites whatever goals they may have.

Whether it is growth, value, global, mid-cap, large-cap, industry-based, or anything else, there are many great options available at Public.


Open Public Account



Open Public Account


Public App Dollar Cost Averaging Alternative


There is a lot to be said for Public.com’s platform and service. And, while it is certainly possible to build long-term positions over time using a dollar cost averaging approach, there are some limitations to what investors can do on the platform. Most notably, the lack of some popular investment vehicles like mutual funds.

If you are interested in dollar cost averaging in mutual funds in particular, one of our top choices is TD Ameritrade. The broker offers the TD Ameritrade Automatic Investing Plan which allows investors to set up recurring investments in as many mutual fund products as they like. TD Ameritrade doesn’t charge commissions of mutual fund purchases when bought through the automatic investment plan, either.

All in all, TD Ameritrade provides investors with all the same opportunity for dollar cost averaging that Public app does, with the added benefit of being able to set up automatic investments in mutual funds.


Open TD Ameritrade Account


Open TD Ameritrade Account


Final Thoughts


If you are looking for a broker that offers most stocks and ETFs, allows funding via debit card, charges no commissions, and facilitates its own social sharing network, Public app is an excellent choice of brokers for you. While there are no automated tools for dollar cost averaging, savvy investors can still utilize the strategy to build up large positions over time. Investors looking for mutual funds and other investment vehicles might want to look elsewhere, however.


About the Author
Chad Morris is a financial writer with more than 20 years experience as both an English teacher and an avid trader. When he isn’t writing expert content for Brokerage-Review.com, Chad can usually be found managing his portfolio or building a new home computer.