Financial advisers get access to portfolio stress test
Instreet Investment is developing a portfolio stress test and risk management service for direct share and exchange traded fund portfolios that gives financial advisers the ability to "check-up" and quantify the investment risks in their clients' portfolios.
The Portfolio Check-Up has been developed in conjunction with Risk101 - a global company offering front, middle and back-office valuation and risk management solutions to institutional clients.
"This service will enable financial advisers to easily quantify and explain the risk in their clients' share and ETF portfolios, ensure clients are comfortable with how their portfolios are constructed, be able to quantify the expected portfolio performance, and, significantly, have a mechanism that better explains where performance is expected to be derived," Instreet managing director George Lucas said.
"Quantifying and understanding investment risk has long been recognised as an integral element in any institutional portfolio management process. With Instreet Portfolio Check-Up, financial advisers will be able to offer a similar service for their clients," he said.
The reporting service will be offered to the retail market via the financial adviser network, with early 2012 the target date for the formal launch.
Recommended for you
As the year draws to a close, a new report has explored the key trends and areas of focus for financial advisers over the last 12 months.
Assured Support explores five tips to help financial advisers embed compliance into the heart of their business, with 2025 set to see further regulatory change.
David Sipina has been sentenced to three years under an intensive correction order for his role in the unlicensed Courtenay House financial services.
As AFSLs endeavour to meet their breach reporting obligations, a legal expert has emphasised why robust documentation will prove fruitful, particularly in the face of potential regulatory investigations.
