Online Investment Performance Measurement, Attribution & Risk Course - November 16-19, 2020


Dublin, Oct. 09, 2020 (GLOBE NEWSWIRE) -- The "Investment Performance Measurement, Attribution & Risk" training has been added to ResearchAndMarkets.com's offering.

A unique opportunity to complete this programme online via a webinar which will be delivered over 3 x 4.5 hour sessions on 16, 18, 19 of Nov starting at 9.30 a.m UK time. The course is delivered by a senior expert with over 20 years of international experience.

On completion you will receive a comprehensive set of course materials and course certificate.

This is a comprehensive, hands-on business introduction to the concepts and application of Investment Performance Reporting, Equity Attribution and Ex-Post Risk. Although it includes brief coverage of Fixed Interest Attribution, Multi-Currency Attribution and Ex-Ante Risk each of these more complex applications is given separate, dedicated one-day coverage in other workshops.

The workshop includes numerous case studies which work from raw data. It also includes coverage of the data management implications of Performance and Attribution implementations.

By attending this workshop you will gain an understanding of Performance, Attribution and Risk to allow to follow through from Portfolio Valuation to Performance Report. In addition you will be able to take the applications forward to get to the next stage' performance analysis, client reporting and user problem solving.

Participation in this workshop requires a Laptop with Excel 2003 or later version. We can provide laptop if requested for additional fee.

Investment Performance, Attribution and Risk are complex topics. Each includes concepts distinct from, for example, Investment Reporting, Accounting or Fund Pricing. Accordingly, a simple spreadsheet with guide is made available for prospective attendees pre-workshop to attempt and gain initial familiarity with key concepts.

What will you learn

By the end of the course you will be able to:

  • Calculate returns and use key metrics
  • Understand the benchmarks and indices and use them to measure performance
  • Calculate and measure risk
  • Track errors in performance
  • Apply portfolio attribution
  • Understand and apply Global Investment Performance Standards
  • Present performance results and prepare reports

Key Topics Covered:

Day 1 - Performance Returns

Objectives and Scope

  • Middle Office' Environment
  • Portfolio Valuation to Performance Report
  • Evaluating Manager Performance - the Options
  • Performance Attribution - Deconstructing the Value Add
  • Risk - Ranking Portfolios with Equal Performance

Performance Returns

  • Simple Returns - Absolute and Percentage
  • Definition, Source, Relevance of Performance Flows
  • Data and Signage Implications for Flows
  • Modified Dietz Methodology
  • Money and Time - Weighted Returns
  • Flow Weighting
  • Returns Period to Date
  • Sector and Portfolio - Level Returns
  • Review Distance - Learning Exercise

Consolidation Case Study: Daily Security and Cash Returns

Alternative Methodologies

  • Internal Rate of Return
  • Linked Internal Rate of Return
  • Bank Administration Institute

Annualised vs Cumulative Returns

  • Annualised and Cumulative Reporting Options
  • Annualising Cumulative Returns

Impact of Fees

  • Regulatory Requirements
  • System Implications
  • Storing Returns Both Gross and Net of Fees

Currency impact

  • Local, Currency and Base Returns
  • Algorithms
  • Deriving the Third Return

Benchmarking

  • Types of Benchmark
  • Relevant Benchmark
  • Excess Return
  • Arithmetic vs Geometric Comparison
  • Drifting
  • Price, Market Capitalisation and Equal Weighted Calculations

Case Study: Benchmark Creation from Indices

Contribution Analysis

  • Contribution as Position Weight * Position Return
  • Reconciliation - Total Contributions to Portfolio Return
  • Multi-Period Implications

GIPS

  • Overview of Global Investment Performance Standards
  • Self-Regulatory with Independent Verification
  • 2020 Exposure Draft
  • Compliance - Musts' and Recommendations'
  • Day 1 Review, Questions and Close
  • Open Forum

Day 2 - Performance Attribution and Risk

Performance Attribution

  • Review of Day 1
  • Review of Performance Reporting

Attribution

  • Concepts
  • Equity Attribution
  • Fixed Interest Attribution
  • Workshop Focus on Equity Attribution

Equity Attribution - Top-Down', Single Period

Deconstructing the Value Add
Brinson Additive Benchmark-Relative Methodology
Attribution Elements - Top-Down' Approach
Single Currency Approach
Total of Elements Reconciliation to Excess Return
Geometric Alternative
What if?' Analysis of Attribution Elements

Case Study Equity Attribution - Top Down

Equity Attribution - Bottom Up' Alternative, Single Period

  • Attribution Elements - Bottom-Up' Approach
  • Extend Case Study Equity Attribution to Bottom-Up Approach
  • Multi-Period Attribution
  • Bottom-Up Approach
  • Arithmetic vs Geometric Approach gives Variances
  • Attribution Smoothing' Removes Variances
  • Smoothing Algorithms

Case Study Attribution Smoothing: Frongello Algorithms

Introduction to Multi-Currency Attribution

  • Currency Attribution Element
  • Introduction to
  • Naiive' Currency Attribution
  • Full' Multi-Currency Attribution Options
  • Karnosky and Singer Methodology

Other

  • Transactions Based vs Holdings Based Attribution
  • Source of Residuals
  • Smoothing for Residuals

Risk

  • Concepts
  • Ex-Post Risk
  • Ex-Ante Risk
  • Workshop Focus on Ex-Post Risk

Statistical Concepts

  • Standard Deviation
  • Correlation
  • The Capital Assets Pricing Model
  • Case Study Part 1 - Standard Deviation

Ex-Post - Key Absolute Measures

  • Sharpe Ratio
  • Treynor Measure
  • Jensen's Alpha
  • Drawdown
  • Case Study Part 2 - Absolute Measures

Ex-Post - Key Relative Measures

  • Tracking Error
  • Information Ratio

Case Study Part 3: Relative Measures

Questions and Close

For more information about this training visit https://www.researchandmarkets.com/r/yd3uzl

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