Dynamic text is anchored to the object via a leader, and moves along with the object as you interact with it:

To add dynamic text:
- Click  on the toolbar. on the toolbar.
- Click  on the flyout. on the flyout.- As you position your cursor on the object, the tooltip displays the model space coordinates. 
- Select the point on the object where you would like to anchor the leader. 
- Type the desired text, then click and drag the text box to the desired position.