Services
Investment portfolio analysis
An independent view of an owner’s or a company’s portfolio: asset allocation, credit risk, costs and conflicts of interest. We bring accounts at different banks and brokers into one transparent picture.
- 2–3 weeks
- typically
- Fixed fee
- for the report
- Report + review meeting
- deliverable
Who it is for
- Owners after the sale of a business: capital has appeared, and so have many offers from banks.
- Wealthy families and family offices.
- Companies with surplus liquidity invested in securities.
Why we start with allocation
Statistically, more than 80% of a portfolio’s result is determined by asset allocation rather than stock picking. This is the conclusion of the classic studies of institutional portfolios by Brinson, Hood and Beebower (1986) and of later research.
So we start with the structure of the portfolio, not with individual positions: it accounts for most of both the risk and the result.
What we analyse
Allocation
The split by asset class, issuer, currency and country. Where the portfolio depends on a single risk.
Credit risk
Credit quality and duration of the bond holdings: what happens if rates rise or an issuer defaults.
Portfolio consolidation
We bring accounts at different banks, brokers and managers into one report, so the picture is fully transparent: what you hold, where, and what it costs to run.
Costs
Management and transaction fees, costs inside funds and structured products, and a comparison of the result with a benchmark.
Conflicts of interest
How the broker or manager earns, and which instruments in the portfolio benefit them first.
Target asset structure
An allocation by asset class for your goals and horizon, without naming specific securities.
How the analysis works
- Data collectionStatements from the broker or manager, agreements, fee schedules. We do not need access to the accounts.
- AnalysisWe examine structure, risks and costs and consolidate the accounts into one portfolio.
- ReportA written document with conclusions and a target asset structure.
- ReviewA meeting to go through the report and the questions worth putting to your manager.
Terms
An advance for scoping and a fixed fee for the report. We receive no fees from banks, brokers or asset managers: only the client pays us.
Important notice
We assess the structure of the portfolio by asset class, its risks and its costs. We do not manage money, do not take custody of it and do not advise buying or selling specific securities.
The analysis is not individual investment advice or a personal recommendation. We are not a licensed investment adviser, do not manage money and do not recommend buying or selling specific securities.
Example
After selling a company, the owner places the proceeds with two banks and a broker. There is no single report. A consolidated analysis shows that a third of the capital sits in the structured products of one of the banks and that half of the bonds belong to a single industry.
A typical situation, shown for illustration.Questions and answers
Can the portfolio be analysed without changing broker?
Yes. We need only statements and fee schedules. The accounts, securities and money stay where they are; what to do with the conclusions is your decision.
Will you tell us what to buy and what to sell?
No. We do not give recommendations on specific instruments. We show how the portfolio is built, what risks it carries and what you are paying for.
Related services
Let’s discuss your project
The first meeting is free. We discuss the task, the situation and your expectations; then you receive a proposal with scope, timeline and budget.