Wealth Managers

A total and tailored solution

Excerpt’s ability to analyse portfolios that are a mix of funds, ETFs, stocks, bonds and derivatives is essential for wealth managers seeking to gain a holistic view of client risk exposures.

Wealth Managers often put together ETFs or UCITS funds in a bespoke portfolio to create a Fund of Fund or multi manager effect. As the underlying composition of each of these funds may not be in the public domain it can be difficult to accurately model the aggregate risk. EMA is able to address this conundrum because of the statistical nature of its models. Consequently, the risk exposures of a fund can be reasonably deduced from the price history of that fund, without requiring knowledge of the underlying composition.

The historic performance can be acquired directly from Bloomberg, if available, supplied via the API or imported manually in the form of a CSV file.  The strength of EMA’s statistical factors is that they are able to produce reasonably accurate representations of a funds systematic exposures just from the price history.

The system also allows the design of customised reports, with the freedom to use a client’s own branding on the output, helping with client communication where a brief and straightforward report is required.

The capacity of the EMA system to compare client portfolios against a model portfolio, either at the asset level, portfolio characteristic level or by means of a correlation matrix ensures that individual allocations can be monitored to remain consistent with agreed models.