The solution, Algorithmicsâ Investment Design for Wealth Managers, gives users the ability to construct, monitor, and rebalance investorsâ portfolios and is designed to help wealth managers differentiate their services. Targeted at the wealth management divisions of private and retail banks, the solution comes in three editions â Monitoring and Reporting, Standard and Enterprise Edition. Each edition is tailored to address the needs of wealth managers, irrespective of their size or level of sophistication. The three editions provide a path for users to migrate to increasing levels of sophistication as either their business objectives or mix of clients change.
In addition to the main solution, Algorithmics offers an asset allocation advisory service to clients who choose either the Standard or Enterprise edition. These services help wealth managers to construct optimal strategic portfolios for their investors (particularly using structured products), and to rebalance each clientâs portfolio to maximize the probability of achieving their personal financial goals at different time periods.
Dr Andrew Aziz, Executive Vice President of Buy-Side Risk Solutions at Algorithmics, said: âWith the launch of Algorithmicsâ Investment Design for Wealth Managers, we have tailored our existing solutions and added more functionality to meet the specific needs of wealth managers. In our view, the combination of risk and compliance with multi-period optimization of client portfolios is a real differentiator. The solution uses our proven powerful risk/return analytics to provide core capabilities ranging from monitoring and regulatory compliance with MIFID to advanced, customized financial planning.â
Paolo Sironi, Senior Director, Wealth Management Solutions, Algorithmics, added: âFor the first time, wealth managers are able to have actionable insight into the risks and opportunities inherent in their clientsâ portfolios, especially those with structured products. Our solution provides insight into how these actions should drive investment decision-making in order to meet clientsâ investment objectives over multiple time periods. Our clients will be able to capitalize on improved risk awareness in order to optimize return; this is a leading factor which will differentiate individual wealth managers in the industry.â