Why can’t I setup dollar cost averaging and auto-rebalancing on one account?
A. Dollar cost averaging is designed to have your investments held in Perpetual’s Cash Fund/Investment Option, and switched out over the course of the year into Funds/Investment Options that you have nominated. Auto-rebalancing is designed to ensure your portfolio is maintained at a set investment strategy, therefore if you have 100% of your portfolio in cash for dollar cost averaging, as your dollar cost averaging strategy is activated and money is switched out of cash into other Funds/Investment Options, auto-rebalancing will then automatically switch everything out of your new Funds/Investment Options and back into cash. Your auto-rebalancing investment strategy will continually counteract your dollar cost averaging strategy, which will result in a large number of unnecessary switches and transaction costs for which you would have pay. Therefore we will only allow investors to activate dollar cost averaging or auto-rebalancing, not both.
