Tools for Market Simulation, Portfolio Selection and Risk Management

Portfolio Tactics
Define Market

PortfolioTactics is a financial market simulation tool aimed at private banking and wealth management professionals. It facilitates market analysis and forecasting as well as making portfolio recommendations. In particular it asserts consistency between forecasts and recommendations.

PortfolioTactics deals with asset class categories, risk profiles and model portfolios. Its core functionality is merging the market equilibrium portfolio with the user’s personal market view. This is done simultaneously and consistently for an arbitrary number of risk profiles.

PortfolioTactics will suggest how to improve strategic positions as well as how to tactically allocate in accordance with the user’s view.

PortfolioTactics incorporates machine learning techniques as an option to produce market views. Further it can suggest how to best complement an existing portfolio or how to implement a desired mix of assets using a limited set of predefined mandates.

PortfolioTactics is of use to anyone responsible for producing market forecasts or portfolio recommendations tailored to a specific risk profile. In addition it can be valuable to managers of well diversified funds. 

It’s a tool designed for private banking and wealth management professionals, but could just as well be used by sophisticated individual investors.

At its core Portfolio Tactics does precisely one thing – it translates your individual market view into a continuum of optimal portfolios at different risk levels. As a wealth management professional this is just what you need. You manage multiple portfolios at different risk levels, and you promised to actively rebalance all those individual portfolios based on your expert view of the current market state.

Assign Confidence

Your market view most likely includes uncertainties and different scenarios occurring with different probabilities. You need to weigh all that together forming one market view and then apply that to all the different portfolios you mange, and this needs ti be done consistently and reproducibly. Portfolio Tactics is a framework that helps you with this.