Dynamic Asset Allocation

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Dictionary Says

Definition of 'Dynamic Asset Allocation'

A portfolio management strategy that involves rebalancing a portfolio so as to bring the asset mix back to its long-term target. Such rebalancing would generally involve reducing positions in the best-performing asset class, while adding to positions in underperforming assets. The general premise of dynamic asset allocation is to reduce the fluctuation risks and achieve returns that exceed the target benchmark.
Investopedia Says

Investopedia explains 'Dynamic Asset Allocation'

For example, an investor with a $100,000 portfolio may want to hold 50% each of stocks and bonds. After a couple of years, when stocks have outperformed bonds, the portfolio now holds $65,000 in stocks and $55,000 in bonds. Assuming the investor wishes to retain the original 50:50 asset mix, dynamic asset allocation would result in the sale of $5,000 worth of stocks from the portfolio, and the proceeds would be used to buy bonds.
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'Dynamic Asset Allocation'

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    ... Dynamic Asset Allocation Another active asset allocation strategy is dynamic asset
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  • Choose Your Own Asset Allocation Adventure

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    ... Insured Asset Allocation This is a type of dynamic asset allocation strategy where
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  • Series 66 Study Guide - Portfolio Management Strategies, Styles ...

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    ... Learn more about tactical and strategic asset allocation, as well as insured, dynamic,
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  • Series 65 Study Guide - Portfolio Management - Strategic vs. ...

    http://www.investopedia.com/exam-guide/series-65/portfolio-management/strategic-tactical-asset-allocation.asp
    ... information on the various asset allocation strategies, from strategic and tactical,
    to other strategies such as constant-weighting, dynamic and insured. ...

  • Analyzing Mutual Fund Risk

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    ... of Neto Financial Group, a boutique investment management firm that specializes
    in using alternative strategies and dynamic asset allocation to provide clients ...

  • Using ETFs To Build A Cost-Effective Portfolio

    http://www.investopedia.com/articles/exchangetradedfunds/09/etfs-and-mutual-funds.asp
    ... Passive Investing In ETFs.) Strategic, Dynamic, Tactical … Just Pick One Now that
    the tools are available for efficient asset allocation, all that's left to ...

  • Breaking Down Binomial Trees

    http://www.investopedia.com/articles/financial-theory/binomial-trees-black-scholes-model.asp
    ... of Neto Financial Group, a boutique investment management firm that specializes
    in using alternative strategies and dynamic asset allocation to provide clients ...

  • Analyzing Mutual Funds For Maximum Return

    http://www.investopedia.com/articles/mutualfund/08/analyzing_mutual-funds.asp
    ... of Neto Financial Group, a boutique investment management firm that specializes
    in using alternative strategies and dynamic asset allocation to provide clients ...

  • Investment Suitability 101

    http://www.investopedia.com/articles/financialcareers/08/suitability.asp
    ... (To read more about this, see Asset Allocation Strategies.) The Dynamic
    Nature of Suitability Suitability is constantly in flux. ...

  • Bond Portfolios Made Easy

    http://www.investopedia.com/articles/bonds/08/bond-portfolio-made-easy.asp
    ... more about asset allocation in Asset Allocation Within Fixed ... the interest rate
    environment is dynamic, the source ... Diversification As an asset class, bonds help ...

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