How to Use the DCA Average Rate Calculator
Currency DCA (Dollar-Cost Averaging) means converting a fixed dollar amount to a foreign currency on a regular schedule, regardless of the current rate. When rates are favorable you buy more units; when unfavorable, fewer. Over time, this smooths your average purchase cost compared to converting all at once.
This tool calculates the cost-weighted average rate across all your purchase entries. Enter the current exchange rate to see your current position value and unrealized currency gain or loss. Add up to 12 rows to track up to a year of monthly purchases. If the current rate is higher than your average buy rate (per unit), you have an unrealized gain.
Frequently Asked Questions
No. If you buy $1,000 at rate 0.007 and $100 at rate 0.009, the simple average is 0.008 but the cost-weighted average is lower (closer to 0.007) because more dollars were spent at the lower rate. Cost-weighted average reflects your true purchase cost.
Rates are expressed as USD per one unit of foreign currency (e.g., USD per JPY). If your rate source uses foreign units per USD (e.g., 133 JPY/USD), enter the reciprocal: 1 ÷ 133 ≈ 0.0075.
Wise (formerly TransferWise), Revolut, and Charles Schwab's international accounts typically offer rates much closer to the mid-market rate than traditional bank wire transfers. Compare total cost including fees, not just the headline rate.