Asset Managers - APT Risk Model & Portfolio Analytics Solutions
APT's integrated, multi-factor risk models are perfectly suited to asset managers. They are constructed statistically, based on the Arbitrage Pricing Theory, and give unbeatably accurate risk estimates.
Because of their integrated construction method, they are flexible enough for an asset manager to decompose the sources of risk in the fund using the set of factors which are most powerful for the fund - currency, country, sector, style, fundamental, economic, interest rate (shift, butterfly, twist) and user-defined factors.
And being based on a single, consistent, theoretical approach, both equities and bonds (government & corporate) are seamlessly merged - risk and general portfolio management tasks can be carried out without arbitrary divisions.
We provide specialized packages of risk models and software for asset managers including:
- Benchmarked passive equity funds (trackers)
- Benchmarked active equity funds (managed)
- Enhanced index equity funds
- Benchmarked balanced (bond and equity) funds
- Funds-of-funds
- Long/short funds
For most asset managers APT offers APTPro, a desktop 'workbench' application that performs risk management using APT's highly-accurate Integrated Risk Models.
It can take any benchmark, user-defined or from a selection of popular indexes, estimates tracking error and other portfolio risk measures, provides drill-down to factor risk attribution, beta analysis and security-level analytics such as each stock's contribution to risk, and also offers performance measurement and attribution.
APTPro links to the APT Optimizer to allow portfolio construction and portfolio revision, producing intuitive results first time, and allowing extensive control over the process to satisfy the conditions and constraints of your mandate - from simple constraints on maximum holdings up to the most complex implementation of US tax law, for tax-efficient optimization, and UCITs (10/40) compliance for European managers.
APTPro can handle common file formats such as Excel, and has customizable reporting and graphing.
Our APTxVAR developer's toolkit lets asset managers integrate APT's analytics in their own portfolio management systems.
APT's risk databases have excellent coverage with over 200,000 securities included, and extra user-defined securities can be added easily.
APT's medium-term risk models are best suited to asset managers' typical look-forward horizons of from one to six months. Alternatively, for high turnover funds, short-term models are available.
Most commercial risk models assume markets behave with normally distributed market returns. APT has non-normal risk analytics which give managers confidence that the risk estimates will be robust and accurate even when the market becomes distressed.
Take a look at what other software, risk models and portfolio analytics are available, or contact APT for a presentation, demonstration and example risk report for your fund or book.
top