# average up

CEFR C1 · Phrasal verb

Source: https://englishreference.com/word/average-up
Updated: 2026-10-22

## Definition

to buy more of an investment as its price rises, which increases the average price you have paid for all your shares.

For teachers: To purchase additional units of an asset at a price higher than the initial purchase price, thereby increasing the weighted average cost of the total position.

## Examples

- The stock is doing well, so I might average up today.
- Instead of selling for a quick profit, she decided to average up as the market trend remained strong.
- While averaging up can be risky in volatile markets, it allows traders to capitalize on momentum by increasing exposure to outperforming assets.

## Pitfalls

- Not "I need to average up 4.5 to 5." but "I need to round up 4.5 to 5." — Averaging up refers to investment costs, while 'rounding up' refers to adjusting a number to the nearest higher whole value.

## Usage notes

- Often used intransitively or followed by a prepositional phrase starting with 'on'.
- Teaching tip: This is a specific financial term; contrast it with 'average down', which is the more common strategy of buying during a price drop.

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