 |
|
|
|
|
| UNDERSTANDING AND AVOIDING RISKS |
Returns above the risk free interest rate imply that the investor
must take and accept risk. However, any risk taken to achieve
higher yields should both be measurable and manageable - and
it also must be limited.
The prime indicator calculating risk from statistical probabilities
is called Value at Risk. Using this technique the EQUIRION
RISK MANAGER answers such frequently asked questions like
"What's my portfolio value at risk?", "Does my risk result from
specific instrument classes or from currency risk?" or "How
could I reduce risk by applying portfolio diversification techniques?".
In addition EQUIRION RISK MANAGER may not only predict
possible losses from past events but also attributes profits
to individual investment classes or even down to specific instruments.
Its well structured presentation of results further ensures
that clients understand and realize that the investment
strategy is compliant with their risk-affinity and their investment
guidelines.
|
|
|
|
|
