The exchange traded AMP Capital Dynamic Markets Fund (the Fund) is a cost-effective investment solution that seeks to negotiate the ups and downs of the market cycle.
The Fund uses Dynamic Asset Allocation (DAA) to actively adj ust the split of investments across asset classes in response to expected market changes. For example, when markets have fallen, the Fund may favour growth assets such as shares, whereas when markets are peaking the Fund may favour more defensive assets such as fixed income and cash. The illustration shows how the Fund can be flexible in altering its allocation to growth assets according to investor sentiment, which is one of the main drivers of the DAA process. Conversely, as there are signs of a recovery in share markets, the Fund can increase exposure to growth assets.