This section offers very advanced investment tools. If you are a sophisticated investor or a financial advisor, you can use it to input several portfolios at the same time, for the purpose of comparing or evaluating results against a host of investor profiles, benchmarks and events. Each portfolio can be taylored to a specific type of investor with its unique objectives, risk tolerance and investment style bias (e.g. value vs. growth). Portfolio results can then be compared against specific objectives, risk tolerance profiles and style biases to determine the appropriate portfolio design for each type of investor.
You can use this section to input multiple portfolios and compare the characteristics of each one against its corresponding profile, to decide which one is the most suitable. What-if scenarios let you see how buying a certain fund or dumping another would alter a portfolio's risk-return tradeoff or improve its diversification potential.
To build your portfolios, you have numerous tools at your disposal, including the powerful FundScope Snapshots and Honour Rolls (proven to have the power of identifying superior funds). Advanced ranking and screening tools allow you to identify funds that meet individual requirements or that are consistent with individual styles or market views. Do you feel loyal to certain fund families? No problem! Our Family Ratings tell you how those families stack against the competition and what are their strengths, weaknesses and best vs. worst funds. You can further refine this process by reviewing our detailed quantitative, in-depth analysis of individual fund's performance, risk-adjusted returns and other structural characteristics.
Using our Portfolio Diagnostics Pro, you can analyze portfolios made of up to 30 funds. This tool highlights the weak links in each portfolio by flagging funds with undesirable features like below average returns, high risk or high cost. It compares the asset allocation as well as the risk and return of each portfolio to the FundScope recommended parameters for each investor profile. It also calculates the standard deviation and the Sharpe ratio of each portfolio and identifies redundant funds (using similarity analysis).
Not sure which portfolio combination is better? No problem! You can keep trying by adding funds and dumping others until you find the optimal combination that maximizes return for the appropriate level of risk. To facilitate your task, you can compare the performance, risk, cost and risk-adjusted return of all portfolios in one report and sort that report for each of those parameters. This comparison also gives you a snapshot of how each portfolio is doing and which one requires priority attention.