BlackSwan Financial Platform enables you to provide a more personalized solution for your clients with different risk appetites. It also allows you to obtain more precise results by dropping the assumption of asset return normality. It provides you with a new approach to maximize returns and minimize losses during extreme market conditions. It uses a mathematical
BlackSwan Financial Platform enables you to provide a more personalized solution for your clients with different risk appetites. It also allows you to obtain more precise results by dropping the assumption of asset return normality.
It provides you with a new approach to maximize returns and minimize losses during extreme market conditions. It uses a mathematical model to find the allocation, within a portfolio of financial assets, that maximizes the investor's expected return while minimizing his maximum loss. It helps maximize return during normal market conditions, minimize losses during extreme crashes, and maximize the gains during extreme rallies.
Highlights:
Improves on the classical mean-variance solution by taking possible extreme events into consideration
Maximizes the expected return for a fixed volatility while also minimizing the expected shortfall or also maximizing the expected windfall
Results in a considerable gain in Expected Shortfall/Expected Windfall (ES/EW) for a modest loss in Expected Return (E[R])
Provides greater diversification capabilities and can be used as an efficient risk management tool
Allows users to match a client’s risk appetite with different solutions (for example, Shortfall Optimize Portfolio (SOP) for risk-averse clients or Windfall Optimize Portfolio (WOP) for risk-taking clients) in addition to the efficient frontier (EF) used for clients who do not care about extreme risks
Web Enabled Dashboard:
BlackSwan Financial Platform is also a user-friendly, web-enabled dashboard for client-facing finance professionals such as relationship managers, third-party asset managers, and family offices, and their clients.
Web Enabled Access:
Manage and restrict both employee and client access over the web as needed
Provide web access with the highest encryption and latest security protocols
Benefits:
Short time to market: rapid implementation
Easy configuration: set-up is done through tables. No code and scripts are required
Flexible workflow settings: orders routing is flexible. Orders are routed from one department to the other with different authorization levels with pre-trade checks
All financial instruments coverage: any type of financial instrument including structured products and derivatives
Compliance and investment restrictions: online checks with warning or blocking messages, pre-trade or post trade reporting and alert to compliance officers
Audit: full audit trail of changes
Reporting: integrated report generator
Intelligent Rules and Conditions engine: set-up any type of commission, any workflow, any fee schedule, any tax regulation using flexible tables
Implement at your pace: rollout BlackSwan in phases or by replacing entirely your system in one-go
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