For much of the past four decades, Strategic Asset Allocation (SAA) has formed the foundation of portfolio construction. The principle is simple: establish a long-term mix of equities, bonds, and alternatives based on risk tolerance, rebalance periodically, and maintain discipline. In a world of globalisation, falling inflation, and declining interest rates, that framework worked exceptionally well.
For decades, retail investors have been handed the same investment framework: static strategic asset allocation, risk profiles labelled “conservative,” “balanced,” or “growth,” and the assumption that history always repeats. That framework worked in the disinflationary decades of falling rates and globalisation — but today it looks fragile.
Inflation is sticky. Growth is slowing. Debt is piling up. Geopolitical tensions and currency debasement are front-page news. Investors can no longer afford to rely on old rules of thumb.
That’s why we built Dynamic Asset — to change the playbook.
Investors today are navigating one of the most complex market backdrops in decades — inflation risks, geopolitical tensions, shifting central bank policy, and a world in transition from fossil fuels to new technologies.
Against this environment, our Wealth Builder and Wealth Protector portfolios have delivered exceptional results over the past 12 months.
Structural changes in global investment markets are casting doubt on the revered 60/40 asset allocation traditionally utilised by financial advisors. Rather than boosting returns and protecting investors during downturns, it could fail to deliver an adequate mix of protection and returns.
