Question 1

How much would I have if I DCA'd $100/week into DLR for 5 years?

Accepted Answer

Dollar cost averaging $100 per week into DLR for 5 years (261 purchases) would have resulted in a total investment of $26,100 and a current value of $32,840, a return of 26%. Using Enhanced DCA, which concentrates buys during dips, the same $100/week base deployed $37,411 and grew to $50,730 — a 36% return.

Question 2

What is the best DCA strategy for DLR?

Accepted Answer

Backtesting shows Enhanced DCA — which increases buy amounts during market dips and reduces or skips buys when DLR is overextended — outperformed standard weekly DCA by 10% over 5 years. The enhanced strategy achieved a 36% return vs 26% for standard DCA.

Question 3

What would $100/week into DLR be worth after 3 years?

Accepted Answer

Investing $100 per week into DLR for 3 years (157 purchases, $15,700 total) would have grown to $17,447 — a 11% return. Enhanced DCA over the same period returned 13%.

Question 4

Is DCA into DLR worth it?

Accepted Answer

Based on a 5-year backtest, DCA into DLR returned 26% with standard weekly purchases. An intelligent DCA strategy that buys more during dips returned 36% over the same period — a 10% gain in return, while deploying more capital.

Question 5

How many shares of DLR would I have after DCA for 5 years?

Accepted Answer

Dollar cost averaging $100/week into DLR for 5 years would result in approximately 184 shares with a standard DCA approach (avg entry $142). Enhanced DCA targeting dips results in 284 shares at an average entry of $132.

Question 6

How does DLR DCA compare to the S&P 500?

Accepted Answer

Enhanced DCA into DLR returned 36% over the past 5 years. The S&P 500 (SPY) returned approximately 53% over the same period. DLR's performance reflects its volatility as a real estate asset. Enhanced DCA outperformed standard DCA by 10%, demonstrating the value of intelligent entry timing during market dips.

Question 7

What is the risk of dollar cost averaging into DLR?

Accepted Answer

Past backtest performance does not guarantee future results. DLR is a real estate asset whose price can fall as well as rise. While DCA reduces timing risk by spreading purchases over time, losses are still possible if the price declines significantly. Always invest within your risk tolerance and consider your overall portfolio diversification.

Question 8

What is the Digital Realty dollar cost averaging strategy?

Accepted Answer

Standard DCA invests a fixed amount ($100/week or $433/month) into DLR at regular intervals. Enhanced DCA improves on this by using RSI (Relative Strength Index) signals to increase buy amounts during market dips (oversold conditions) and reduce or skip purchases when the stock is overextended. Over the 5-year backtest, this timing approach has delivered 10% higher returns than standard DCA while deploying more total capital into DLR.

Period	Standard DCA	Enhanced DCA	Alpha
1-Year	1%	5%	+4%
3-Year	11%	13%	+1%
5-Year	26%	36%	+10%

DLR DCA Backtest — Dollar Cost Averaging Results

DLR DCA Results: Key Findings

Alpha you missed while unsubscribed

Dollar cost averaging into DLR — backtest results

Buying the dips for Digital Realty