Risk Management Software Applications

To describe risks and expected returns at security or portfolio level in a comprehensible way and derive good diversification strategies is no trivial task. On the one hand, the abundance of risk measures and their complicated calculations overwhelm many customers and even some advisors, on the other hand, the risk and return considerations often refer only to the past or the status quo. aixigo's risk management software – the Risk Engine – makes the difference. It uses scientifically based algorithms using the Arbitrage Pricing Theory and provides a simple answer to complex questions.

Risk-Hedging Toolkit

Take a look behind the scenes of risk

With the aixigo Risk Engine, you have financial risk management software at your fingertips that presents portfolio risks in an understandable and comprehensible way. It enables you to use completely new sales stories for risk hedging that your customers will love. By using commonly known variables as risk factors for securities and portfolios, customers can intuitively understand risks. For example, a portfolio that is dependent on only a few risk factors instead of many offers diversification potential - a new opportunity to contact the client or to optimise managed portfolios.

Improve risk diversification

On the basis of the risk factors, scenario analyses make it possible to analyse the return of the portfolios under historical scenarios. By comparing the current portfolio with one or more alternative portfolio recommendations, you can directly determine which portfolio would have performed better under which scenario. Using a Monte Carlo simulation, the Risk Engine determines the expected return on securities or portfolios for any future period. Possible and expected future developments of risk factors such as large price increases or strong price fluctuations can also be simulated. These powerful analyses provide crucial information for your risk hedging measures.

Intensify customer contact

aixigo's risk management software presents expert information in such a comprehensible way that you can discuss with the customer which risk factors have an effect on his portfolio or how large the respective contribution to the overall risk is. Your background information from the CIO office – for example on the risk factors that have the greatest influence on the portfolio – underlines the expertise and gives the customer a feeling of security. This information can of course also be made available directly in digital form via the News Channel – an added value for all customers: Self-directed, advisory and discretionary portfolio management clients. Regular announcements on risk factors relevant to individual portfolios is suitable for newsletter-like information, for example under the headline "News from the oil market".

Democratise risk hedging

The risk management software easily processes a very large number of portfolios or securities within a very short period of time. The unrivalled scalability and speed make it possible to provide a wide range of the analyses and information otherwise reserved for experts - integrated in investment advice, discretionary portfolio management, customer communication, online access for self directed investors or as stand-alone tools.

Our financial software solutions at a glance

Visit the Risk Engine product page and learn more about the modules and individual enhancements of the software solution. Or take a look at our other software solutions for Investment Advice, Portfolio Analysis or Wealth Management! All software solutions are based on our core modules and can be extended with individual functionalities.