Approach

RiskForecast™ provides investment managers with an unbiased technique to ensure that their investment operations can deliver the full value inherent in their investment ideas. Using proprietary analytics developed from over a decade of research, RiskForecast™ generates forward-looking, multi-factor profiles that generate a continuous systematic 'look-through' across all facets of investment operations.

RiskForecast™ identifies sources of implementation shortfalls coupled with the most beneficial remediation path. Optimizing investment operations can help retain risk-adjusted performance on the order of 50 to 250 basis points.   Understanding how the portfolio implementation pathways can (or cannot) realize the full value inherent in the investment strategy permits institutional investors and managers to better attribute performance deficits to operational quality (versus asset selection). Moreover,  RiskForecast™ provides a novel mechanism for on-going due diligence and enhanced fiduciary capabilities.

Process Overview

1. Investors (or their consultants) identify and request the participation of the managers and the specific strategies they wish to track 

2. forward look, inc. will capture and profile the manager's operation through automated sampling of existing data sources (either static - such as spreadsheets, *.csv files, or SQL reference tables; or transactional - such as FIX or SWIFT messages)

3. RiskForecast™ publishes on-demand reports that characterize specific facets of the investment manager's operations - with particular attention to their ability to add to or detract from portfolio performance.