Sciens Alternative Investments has launched the Sciens Managed Account Risk Technologies (SMART), an interactive risk analytics and portfolio construction engine that enables investors to evaluate their hedge fund portfolios and aggregated fund exposures on Sciens Managed Account Platform (MAP).
John Godden, head of managed account platform, Sciens, says: “The main challenge for hedge fund investors is insufficient and/or out-of-date information on which to base investment decisions. We created SMART in response to a growing desire among institutional investors to manage Hedge Fund investments in the same way as their traditional equity/bond portfolios. SMART is unique because it draws upon up-to-date (T+2) information from our managed account platform and provides the tools for highly accurate analysis and modelling to a much deeper level than previously possible.
“Initial investor feedback indicates there is a keen appetite for this cutting-edge risk analysis tool. It allows them to obtain greater information and exercise more control over their hedge fund investments, which is highly important in light of the increasing focus on governance.”
Investors may use SMART to model and simulate how their portfolios would respond to a range of scenarios including the introduction of new managers. SMART will assess and provide detailed analysis on the impact of adding and deleting a cell or increasing and decreasing the weight in an existing portfolio. It will also allow investors to run a simulation of trades or what if analyses and evaluate their consequence on the overall holding risk parameters.
SMART allows investors on the Sciens MAP to not only analyse their portfolios, but also execute any desired changes. Portfolio adjustments may be executed and visible to investors within a two-day period.
Sciens acquired the MAP from Partners Group in 2010 and has increased its AUM and number of trading advisers with Citi Capital Advisors and J E Moody (among others) joining this year.