Investment decisions are continuously reviewed to quantify how much value they add. These decisions may range from strategic asset allocations to sector bets in the global equity portfolio. Our Performance Measurement and Attribution solutions for Pension Funds, Insurance Companies, and Sovereign Wealth Funds capture all asset classes and strategies by a wide range of attribution models. This helps our clients to explain the sources of excess return as well as the impact of their investments on funding ratio or solvency levels. For these solutions we use PEARL, our acclaimed attribution model.
Enhance your performance by mastering the complexity of investment decision making
The dynamic TAA overlay program run by the asset allocation team, ESG-based exclusions, Best-in-class ESG implementation by the global equity manager, hedging exposures by the currency overlay manager or the high yield pushed for by the fixed income manager – all these decisions have the intention to add value and need to be evaluated accordingly. Our attribution model PEARL, combined with our team of highly qualified specialists, gives our clients an efficient tool to get valuable insights into all these investment decisions, while facing the growing complexity of their investment strategies.
The ultimate goal of performance attribution should be to obtain a consistent view of the added value and risk of each investment decision in relation to your objective. This objective may be future pension liabilities, a sound solvency level or a target return. Only then will performance reports provide valuable information; not only to be in control and to explain every single step in the investment decision process to stakeholders, but also as the best possible starting point to improve investment decisions.
Ortec Finance has been providing Performance Measurement and Attribution solutions for over two decades with a highly skilled and specialized team of professionals. We have a global client base with leading asset owners and long-term relationships. This ensures that we have a thorough understanding of their business and the challenges they are facing, which translates into continuous improvement of our solutions to keep up with technology and market demands. We are committed to making every implementation a success story and have an excellent track record.
Growing Complexity of Investment Decisions
Besides these traditional investment decisions, there is a rapid growth of complex derivative and overlay strategies, ESG-integration strategies, factor allocations and investments in private markets. With PEARL, our attribution model, we ensure that you have an adequate solution in place to handle this increased level of complexity. Ortec Finance has developed a superior attribution model that identifies the impact of the top-down investment decision-making process. This model can be combined with numerous bottom-up asset class-specific attribution models. The end result is an extremely powerful tool that gives you a consistent view on all asset classes and investment strategies.
Our unique approach is available by licensing our (hosted) PEARL software or through our Investment Performance Service (IPS). In both deployment options our self-service reporting tool, in combination with the API functionality, gives you direct access to the results in a flexible format including full look-through. The software comes with an intuitive web-based user interface for data management, configuration and workflow support. PEARL, our attribution model, is based on a solid software architecture to handle large amounts of data in an efficient way.
- We offer a unique approach to understanding the impact of past decisions and improving future decisions, even for the most demanding institutional investors
- With our solutions, the performance reports are correct, flexible and above all appropriate
- We provide an accurate representation of the investment process which leads to better communication with stakeholders, sound governance and continued investment success
- We cater for a multitude of internal and external stakeholders who require and receive performance and risk statistics in different formats and frequencies
- Our Industry-leading team combines academic expertise, market and technical knowledge and offers full implementation services as well as excellent client support, highly rated by our clients