Månedsarkiv: marts 2014

investment performance measurements

Important Tips on Investment Performance Measurement

After building an investment portfolio, you need to keep tabs on how it performs. In some cases, investment performance measurement might seem like a lot of babysitting, but it will all depend on what you own. Owning many individual stocks will require you to track their fundamentals and performance quite often to ensure that you are on top of the research. Below are ways on investment performance measurement.

  1. Regularly review you present net worth and your investment portfolio value. This is something you will want to do on a regular basis for your investment performance measurement. Keep your accounts at your bank, discount broker or mutual fund company. Knowing where you stand is the first step to gauging how well you are doing overall.
  2. Check how your portfolio is doing against benchmarks. Everything is relative with the markets. You are doing well if your investments are performing well in their respective indexes. Check the asset classes in your investment performance measurement software against their comparative index and see if there are any discrepancies.
  3. Compare individual investments in your portfolio against their peers. Every one of your funds is part of a bigger universe of like investments. For your investment performance measurement, compare how your individual stock or fun is behaving relative to other stocks or funds that are in the same sector or industry. If you see glaring differences or patterns of underperformance in your investment performance measurement, perhaps it is time to do some switching.
  4. Ensure that your investments remain on target according to your goals. During your investment performance measurement, evaluate how each investment is doing and confirm its place in your overall plan. Because our lives shift and turn with time, it is also quite possible that our investments need to be revisited and adjusted from time to time.
  5. Regularly make the necessary changes and updates to your portfolio. If your portfolio has shifted to its desired allocation, or your life plan has placed a monkey wrench on your financial picture, make the necessary changes in your investment performance measurement. At times, it is not even your choice to make adjustments.
derivates processing

What does a Derivatives Processing Management Deliver?

The continued growth in OTC derivatives volumes combined with manual and inflexible processing has led to confirmation backlogs, regulatory attention and constraints on the company’s ability to allocate capital and assets to these instruments. Firms have taken partial steps to automate their operations, but need to control operational risk and cost across the complete derivatives cycle.

Derivatives processing management for OTC derivatives addresses the post-trade allocation, confirmation/affirmation, settlement and lifecycle asset servicing needs of participants in the global securities markets. Now that derivate investments have become mainstream, there is a need for more efficient derivatives processing and settlement. Derivatives processing software is designed to process and analyze all activities that are related to your derivative and debt opportunities.

A derivatives processing solution for OTC derivatives creates a scalable and exceptions-based operation that manages events over the end to end derivatives transaction lifecycle. Below are the services and benefits that today’s derivatives processing solutions can offer you.

  • Enhanced operational control by consolidating fragmented post-trade infrastructures into one operations platform that controls and monitors the derivatives cycle.
  • Lower operational risk via automated, workflow-based derivatives processing software that gives a full and audited view of all trade activity.
  • Most cost-effective operations by retiring numerous legacy systems and paper-based processes with one solution.
  • Increased efficiency with proactive trade monitoring that pre-emptively alert users to prevent exceptions from happening.
  • Reduced counterparty risk with the management of all lifecycle events, including increases/decreases, assignments, novations, and partial or full terminations.
  • Greater operational flexibility and scalability to respond to market and client demands across the range of derivatives instrument types.

Derivatives processing software is a comprehensive solution for the back office processing of all debt and derivative portfolio activities, including credit default swaps, swaps, swaptions, total return swaps FRAs, issued interest-bearing and discounted debt, futures, equity and variance swaps and equity index options.