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Our company regularly publishes reports on various topics that can guide you through financial markets. For more information on reports click here.
Privately owned businesses, as well as publicly owned enterprises, often face the need to finance their operations by bond emissions. While choosing the right bond portfolio is not a trivial task, it can lead to significant savings. For information on bond portfolio optimization click here.
Structured investment products are based on complex combination of financial derivatives. However, this complexity may not be always beneficial to the investor. Moreover we introduce Investment Products Rating. More information on product deconstruction can be found HERE.
The above is not an exhausting list of our activities. For more details on our services for private and public sector click HERE.
Financial markets are in a state of constant and quick development, therefore investor who wants to be successful should keep his knowledge updated. You can read more about educational activities HERE.
The world of financial derivatives is diverse and offers numerous investment possibilities. Right combination of these products can lower the risk profile of the investment and provide insurance against market turndowns. To find out more about product construction, click HERE.
Sensible investment portfolio can offer a good return on investor's savings without unnecessary risk. The trick is to find such portfolios. We look for them with a combination of mathematical tests, simulations, data, and deep knowledge of financial markets' behavior. If you are interested in more information about portfolio testing click HERE.
Nowadays investors can choose from a great number of structured investment products. These products are often based on a complex combination of various financial derivatives. This complexity however often hides the risk profile or profitability of the product. Investors thus often grasps only the basic characteristics of the product, such as underlying assets or insurance sometimes included in these products. Thus, an investor sometimes understands only that there is a certain minimal return and maybe opportunity costs of not investing his money in risk-free savings account. Other characteristics, such as combination of indices that have a non-trivial relationship to current (spot) commodity prices, may not tell the investor in a direct way, how good the product is.
Unfortunately, there is no simple relationship between mathematical complexity and quality of a product. Financial mathematics can be beneficial for an investor, because it can help combine the underlying assets in a way that lowers the sensitivity of the overall product to extreme events on the market. Unfortunately, sometimes mathematics serves only as a marketing tool to create a false impression of high quality.
Thus, we try to lower information assymetry that may cause direct financial losses to the investor.
Our team of experts (both internal and external) is educated in quantitative finance, econometrics of time series, and statistics, so we may analyze every detail of structured products. Then we can create models that offer insights into profitability and risk profile of the product.
A representative analysis should contain following parts:
One of the questions this deconstruction can answer is whether the issuer of the product really invested the money in the advertised underlying product, or if they invested in safe bonds and gave investor back only part of the profit, denying him the opportunity to make this safe investment by himself or herself.
Analyses of numerous structured products allow us to build an independent rating of their performance. Its main goal is to ease the comparison between different investment products, and quickly dismiss the worst-rated ones.
You can read more about ratings HERE.
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