Dollar cost averaging (DCA) in VEL means investing a fixed amount at regular intervals, regardless of share price. This strategy reduces timing risk and builds wealth steadily through market ups and downs.
How This Calculator Works
Our DCA calculator simulates real market conditions using historical price data. It accounts for dividend reinvestment (DRIP), where each dividend payment automatically purchases additional shares. You can adjust the investment amount, frequency, time period, and compare against benchmarks like the S&P 500 and Nasdaq-100.
Same amount invested each month — only the day of purchase changes. How much does intra-month timing actually matter?
Best Timing DCA
StrategyBuy on monthly low
Total Return+84.0%
Final Value$88.3K
Perfectly timed — impossible in practice
Your DCA
StrategyBuy on 1st of month
Total Return+68.6%
Final Value$80.1K
Consistent — no timing needed
Worst Timing DCA
StrategyBuy on monthly high
Total Return+52.0%
Final Value$73.0K
Worst possible — still beats not investing
Best vs Worst gap32.0 pp
Your timing vs best-15.5%
Your timing vs worst+16.5%
If You Keep Investing…
Based on this stock's historical CAGR of 8.6%/yr — put in vs. walk away with.
Your Plan
At $500/mo, this could grow into:
3 Years$20K~1.1x your moneyfrom $18K invested
5 Years$37K~1.2x your moneyfrom $30K invested
10 Years$93K~1.6x your moneyfrom $60K invested
20 Years$306K~2.6x your moneyfrom $120K invested
Compare Other Monthly Amounts
Same CAGR assumption. Use this to pressure-test different monthly commitments.
Monthly
3 Years~1.1x your money
5 Years~1.2x your money
10 Years~1.6x your money
20 Years~2.6x your money
$100/mo
$4K+$473 est. gain
$7K+$1K est. gain
$19K+$7K est. gain
$61K+$37K est. gain
$250/mo
$10K+$1K est. gain
$19K+$4K est. gain
$47K+$17K est. gain
$153K+$93K est. gain
$500/mo
$20K+$2K est. gain
$37K+$7K est. gain
$93K+$33K est. gain
$306K+$186K est. gain
$1,000/mo
$41K+$5K est. gain
$74K+$14K est. gain
$186K+$66K est. gain
$612K+$372K est. gain
* Projection assumes historical CAGR of 8.6% continues. Actual returns will vary.
Your DCA Results by Date
76 purchases
Date
Price
Invested
Portfolio Value
% Gain
Gain ($)
Jan 17, 2020
$13.51
$10,000
$10,000
+0.00%
$0
Feb 18, 2020
$14.38
$10,500
$11,144
+6.13%
$644
Mar 17, 2020
$5.00
$11,000
$4,375
-60.23%
$-6,625
Apr 17, 2020
$3.10
$11,500
$3,212
-72.07%
$-8,288
May 18, 2020
$2.50
$12,000
$3,091
-74.24%
$-8,909
Jun 17, 2020
$4.42
$12,500
$5,964
-52.29%
$-6,536
Jul 17, 2020
$3.97
$13,000
$5,857
-54.95%
$-7,143
Aug 17, 2020
$4.41
$13,500
$7,006
-48.10%
$-6,494
Sep 17, 2020
$5.43
$14,000
$9,127
-34.81%
$-4,873
Oct 19, 2020
$4.84
$14,500
$8,635
-40.45%
$-5,865
Nov 17, 2020
$6.36
$15,000
$11,847
-21.02%
$-3,153
Dec 17, 2020
$6.46
$15,500
$12,533
-19.14%
$-2,967
Jan 19, 2021
$7.00
$16,000
$14,081
-12.00%
$-1,919
Feb 17, 2021
$7.34
$16,500
$15,265
-7.49%
$-1,235
Mar 17, 2021
$9.01
$17,000
$19,238
+13.16%
$2,238
Apr 19, 2021
$8.42
$17,500
$18,478
+5.59%
$978
May 17, 2021
$11.23
$18,000
$25,145
+39.69%
$7,145
Jun 17, 2021
$12.51
$18,500
$28,511
+54.11%
$10,011
Jul 19, 2021
$11.97
$19,000
$27,780
+46.21%
$8,780
Aug 17, 2021
$12.68
$19,500
$29,928
+53.47%
$10,428
Sep 17, 2021
$11.65
$20,000
$27,997
+39.98%
$7,997
Oct 18, 2021
$12.09
$20,500
$29,554
+44.17%
$9,054
Nov 17, 2021
$13.01
$21,000
$32,303
+53.82%
$11,303
Dec 17, 2021
$13.00
$21,500
$32,778
+52.46%
$11,278
Jan 18, 2022
$13.23
$22,000
$33,858
+53.90%
$11,858
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Frequently Asked Questions
Common questions about DCA investing in VEL
Investing $500 per month in Velocity Financial, Inc. (VEL) over the past 6 years would be worth approximately $80K today. That's +68.6% total return on $48K invested, with a +8.6% compound annual growth rate (CAGR).