J.P. Morgan Worldwide Securities Services 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.
The Portfolio Construction Tool allows plan sponsors and other institutional investors to see which portfolios potentially generate the optimal risk-adjusted returns.
It is delivered as a module on J.P. Morgan WSS’ Online Portfolio Analytics Lab, launched earlier this year. The lab provides online access to various investment performance and risk measurement tools that allow users to evaluate and rank managers, break down sources of return, analyse risk factors, and assess hedge funds.
It offers users the ability to optimise their own portfolio in any currency or select from J.P. Morgan’s universe of asset classes and managers. Additionally, users can access board-quality reports and create dynamic online simulations via a Web interface.
David Remstein, global executive for J.P. Morgan Investment Analytics & Consulting, says: “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.”