The Reksa Dana (mutual fund) investing experience in Indonesia remains challenging. Ongoing, relevant guidance is limited, leaving many retail investors to rely on guesswork and reactive decision-making. As a result, emotional responses to short-term market movements often undermine long-term investment outcomes.

While one-time robo-advisory models can provide an initial asset allocation, they offer limited support in actively managing portfolios as market conditions evolve. This gap leaves investors without a structured framework to navigate periods of volatility, changing capital flows, and shifting market regimes.

Recognizing this opportunity, Simpan Asset Management developed the Actively Managed Portfolio (AMP) - a portfolio management approach that automatically adjusts investors’ asset allocation on a monthly basis using a tactical asset allocation (TAA) framework. By actively responding to market conditions, AMP is designed to help portfolios shift between risk-on and risk-off positioning in a disciplined and systematic manner.

This research outlines the rationale and research behind AMP, explains the strategy’s methodology, and presents historical backtesting results to illustrate how a TAA-based approach has performed across multiple market cycles relative to traditional strategic asset allocation (SAA) frameworks.