Portfolio Analysis Software

Analysis, Monitoring and Reporting of Customer Portfolios 

With our portfolio analysis software, which includes both portfolio analysis, and portfolio monitoring and reporting, we support you in portfolio calculations and valuations as well as portfolio monitoring, alerting and reporting. The transaction-based financial software provides unparalleled flexibility for analysis and calculation. Configurable monitoring and reporting functionalities process a large number of portfolios smoothly and fully automatically at enormous speed. With our portfolio analysis software you get a tool for digital transformation – portfolio reporting software, portfolio monitoring software and portfolio analysis software – fast, scalable and flexible for your innovative and future-proof solution.

Capabilities of Portfolio Analysis Software Modules

aixigo's portfolio analysis software modules provide you with capabilities for a crystal-clear view of portfolios and further support you with new insights. Comprehensive portfolio calculations, powerful portfolio monitoring and accurate, timely reporting all work seamlessly together. Learn more about the capabilities of aixigo portfolio analysis software below.

Ad-hoc Data Usability

Due to its transaction-based data processing and storage, aixigo's portfolio analysis, monitoring and reporting software offers enormous flexibility for portfolio analysis. With the transactions, the system always has access to the base data to answer new questions, without having to expand the database. Systems that only offer position-based or inventory-based calculations cannot offer this performance advantage because they have to work with inflexible precalculations.

 

Transaction data is processed in our portfolio analysis software for these analyses:

Holding value determination

For each item's position, the system determines the current position ad hoc on the basis of the historical transactions without requiring a precalculation.
 

Time series analysis

If required, the system creates value time series at any time from which individual or multiple data points can be retrieved, for example, to apply performance calculations or to use the data to build graphical representations. A typical graphical time series representation is a wealth or performance curve.
 

Valuation gap analysis

The valuation gap analysis examines whether all position-changing transactions have been correctly transmitted and processed and thus comply with the legal positions of the banking system by comparing the balances of the imported transactions with those of the banking system. Deviations indicate the need for an adjustment posting, which the system draws attention to.
 

Individual holding separation

The system administers the holdings on the basis of their transactions according to project-individually definable, holding-separating characteristics, for example according to depository of the security, date of purchase, old and new values, etc. 
 

Transaction statistics

The transaction statistics contain a multitude of information on transactions that can be retrieved for individual or a set of portfolios and a freely definable period of time. This includes for example the number of transactions, first and last transaction date, sum of the value of the transactions, smallest and largest transaction value and many more. 

Data Decomposition & Aggregation

aixigo's sophisticated portfolio analysis software has functionalities that offer effective methods to gain new insights from portfolio data. It breaks down data into components, recombines it in a new way or consolidates it. All conceivable questions can be applied to the portfolio data and can be answered ad hoc with the portfolio analysis software, as the system dispenses with inflexible precalculations. High-performance architecture and algorithms provide instant feedback.

Portfolio decomposition

Portfolios can be broken down virtually into their smallest components - such as individual positions or partial holdings of securities. The software's automatic breakdown helps to identify details of the structural composition, to understand influences and developments and to derive new insights. It is also indispensable for maintaining the correct sequence of transactions on securities positions (e.g. FIFO).

 

Portfolio aggregation

The flexible aggregation of portfolio data enables a cross-portfolio view, for example of portfolio associations such as family-portfolios or even bank wide portfolio queries. These portfolio associations can be used for analyses that can reveal risks in the overall structure of the assets under management that otherwise would not be transparent if the individual portfolios were considered. These findings allow the efficient approach of clients, the monitoring of compliance with rules or even corrections to the investment strategy.

Yield Analytics – Portfolio Performance Calculation

With aixigo's portfolio analysis software, portfolios and portfolio positions are analysed using our performance analysis.

The library of services which can determine a large number of individual key figures can be used directly via API or integrated into other modules of the financial software solution. All analyses can be flexibly applied to individual positions or groups of positions, complete portfolios or across portfolios.

Excerpt of possible analyses and key figures

Return

Determination of the time-weighted return (TWR) and the money-weighted return (MWR) including annualised breakdown.
 

Profit and loss

Calculation of the profit that a position, portfolio or set of portfolios or positions has earned in the past. Profit or loss can be reported both in absolute and relative terms.
 

Contribution

Linking results from structural analysis and performance calculation so that statements can be made as to which structural characteristics have contributed how strongly to the portfolio performance.
 

Attribution

The Measurement of the portfolio management performance by examining the overall performance using benchmarks from indices such as MSCI World or DAX. 
 

Accrued interest

Determination of the accrued interest. There are different methods for calculating interest days and accrued interest which are derived from the master data of the security.

Mass Monitoring

The fully automatic monitoring functionalities of the portfolio analysis software serve the continuous or event based monitoring with specifications that cannot be breached for all or a flexibly definable selection of portfolios. Monitoring results can be used in a variety of ways, e.g. to generate contact opportunities with customers, to initiate the automatic generation of reports or to offer a starting point to further portfolio analyses

The powerful monitoring algorithms of the portfolio monitoring software ensure rapid diagnosis of deviations, even with very large numbers of portfolios being monitored.

Portfolio Monitoring Features

Threshold value monitoring

Used to monitor customer specific or the bank’s predefined limit values. An individually defined loss threshold can be stored as a customer-specific specification. A predefined limit value is, for example, the statutory loss threshold from MiFID II.
 

Allocation deviation

Examines the deviation between the target and actual holdings within a portfolio to determine whether portfolio rebalancing is required. In doing so, pending transactions from orders or payment orders can also be taken into account.
 

Target market breach

According to legal guidelines, the suitability of each product must be checked against the target market. The target market definition describes the suitability in terms of customer type, knowledge and experience, loss-bearing capacity, risk tolerance as well as customer goals and needs. Products that do not meet the target market criteria are identified by the monitoring module of the portfolio monitoring software.

Portfolio Reporting

The portfolio reporting software is designed to enable the mass, automated generation of reports in a short period of time, while also supporting the ad hoc generation of reports for individual portfolios as needed.

 

Flexibility and convenience

The configuration functionalities of the reporting module within the portfolio analysis software allow maximum flexibility. Predefined content for reports is available out-of-the-box and can be compiled independently via the API. Texts can be entered and maintained individually for each customer. The automatic generation of reports can be controlled on the basis of freely definable events, such as reaching threshold values or as a regular series. A loss threshold report when the legally defined loss threshold is breached represents an event-related report, while a quarterly cost report can be generated as a series or can be generated ad hoc, e.g. at the customer's request.

The portfolio reporting module also enables reports to be generated directly in the client's output format, e.g. as PDF files, so that no further process steps are required. If required, you can also use our service for the configuration of reports and the design in the corporate design. 

Performance Forecast & Simulation

The potential performance of securities or securities portfolios can be investigated using the forecasting and simulation capabilities of our portfolio analysis software.

Interest scenario analysis is a flexible tool for playing through a wide range of scenarios. It forms the corresponding yield curve from interest structure assessments in the form of a freely definable interest rate per term and individual shifts. Optimistic and pessimistic scenarios can thus be compared with each other.

The performance forecast based on a Monte Carlo simulation provides an impression of the different performance scenarios and their probabilities of occurrence.

The portfolio cash flow forecast provides information on the interest payments and repayments that can be expected for an individual portfolio or a quantity of portfolios within a given period. The future payments are based on the pure securities master data (including coupon, distribution interval, maturity date).

With the help of the cash flow plan, you can plan the new investment in advance.

Quality Indicators & Benchmarks for Portfolio Analysis

Various benchmark quality indicators using portfolio properties or the respective development over time can be used for the qualitative assessment of portfolios. The quality indicators of the benchmark relate to the same evaluated figure in the portfolio and form the basis for assessment.

The progression-related benchmarks, i. e. developments over time, can be defined in the benchmark management of the portfolio analysis software. Such a benchmark can be based on securities or indices, for example. The dynamic calculation of the comparative values is then automated, i. e. on the basis of the price data of the underlying instruments.

Whether and which system users and customer groups are provided with a benchmark can be determined individually.

KPIs determined in Property Analytics or Risk Analytics can also be used as quality measures.

Learn more about our other software solutions and our base modules