This paper presents a dynamic anchor scheme in wireless ATM (asynchronous transfer mode) networks, which improves the location registers (LR) scheme, in which LR's are hierarchically structured. This dynamic anchor scheme introduces the CCR (communication-to-computation cost ratio) term in the LR scheme. The proposed scheme reduces computation cost by introducing the active LR. There are at most two active LR's in a hierarchical arrangement of LR's and the location of one active LR is static and the location of another active LR called as anchor LR is dynamically selected among the LRs in the hierarchy in order to minimize a total location management cost. The total location management cost is calculated depending on the CCR as well as the CMR (call-to-move ratio). Numerical results show that the proposed scheme can reduce the location management cost compared with the original LR scheme for the different values of the CCR and the CMR.