Momentum Investing with Affectum Capital
Sir Isaac Newton’s first law of motion stated that an object in motion stays in motion unless acted upon. The concept of "momentum" in investing refers to the tendency that rising prices attract buyers whereas falling prices attract sellers. This self-enforcing mechanism in financial markets is considered a market anomaly that has been observed across different asset classes and at different periods of time. The Affectum Dynamic Asset Allocation Fund uses the momentum effect in its dynamic asset allocation strategy.
Affectum Capital, a privately-owned investment management firm based in the Netherlands, was founded in 2016. We are the managers of the Affectum Global Dynamic Allocation Fund.
The Affectum Global Dynamic Allocation Fund applies a dynamic asset allocation (DAA) strategy targeting long term capital appreciation with limited tolerance for downside risk.
The fund is structured as a Dutch open-ended mutual fund and operates under the exemption regulation of the Financial Supervision Act of the Netherlands Authority for the Financial Markets.