Allows plan sponsors and other institutional investors to see which portfolios potentially generate the optimal risk-adjusted returns
JP Morgan Worldwide Securities Services (WSS) has developed an asset allocation and manager selection analysis tool that enables clients to plan and map the risk-return implications of their current and new portfolios.
Reportedly, the application, Portfolio Construction Tool, is delivered as a module on JP Morgan WSS’ Online Portfolio Analytics Lab (OPAL), launched earlier this year. OPAL provides online access to various investment performance and risk measurement tools that allow users to evaluate and rank managers, break down sources of return, analyze risk factors, and assess hedge funds.
WSS has claimed that the Portfolio Construction Tool offers users the ability to optimise their own portfolio in any currency or select from JP Morgan’s universe of asset classes and managers. Additionally, users can access board-quality reports and create dynamic online simulations, all via an easy-to-use Web interface.
David Remstein, global executive for JP Morgan Investment Analytics & Consulting, said: The Portfolio Construction Tool gives our institutional clients the means necessary to better understand their portfolio strategies, re-evaluate their manager lineup, and manage investment risk in order to make more informed investment decisions.