Navigating risks, driving returns

Portfolio managers are often forced to split their attention between attracting new capital and doing research on new investments. Our Portfolio & Security Analysis practice is created to help PMs focus on the former by working closely with them to quarterback all their research, modeling, and portfolio management needs.

T he portfolio management industry is highly competitive. PMs must keep their costs down to maximize their net returns but must do so in a way that will not hurt their alpha generation abilities. Leveraging our strong financial modeling and research capabilities, our Portfolio & Security Analysis practice was created specifically to help them achieve this. Here is how we help.

“It is those who concentrate on but one thing at a time who advance in this world.”

– Gary Keller

Security Analysis

We work closely with PMs to analyze existing and new investment opportunities in equities, fixed income, and derivative products, so they can focus on idea generation and client relationship. Some of the areas we focus on include:

  • Security valuation (intrinsic valuation, relative valuation, bond valuation, and option valuation)
  • Equtiy research (competitive intelligence, industry research, model maintenance & updates, earnings forecast)
  • Fixed income research (interest rate simulation, credit analysis, stress testing default probabilities)

Portfolio Analysis

We help PMs gain greater visibility into their portfolios’ drivers of returns and risk by decomposing risk exposure, identifying duplication of risks, evaluating sources of returns, and constructing efficient portflios that maximizes risk-adjusted returns.

Risk Management

We work with PMs to analyze and hedge risks through tailored factor analysis and derivative strategies.