Charles River Portfolio Management & Risk Analytics Review
Use Cases and Deployment Scope
We run a project for a family office envolved in asset management of high net worth individuals residing in US. The scope of project considers switch to unified trading and analytical tool for portfolio management and systematic rebalancing of portfolio of US stocks. We are considering next to launch of our Amazon Quicksight analytics data management tools to switch from several trading platforms with no definite segregation for back to front operations to use unified Charles River Portfolio Management & Risk Analytics account to manage our shareholder investment activity. The Charles River Portfolio Management & Risk Analytics is primarly focused on bonds trading which fits our current strategy to use automated approach and rely on large and respected custodian account so we are waiting our successfull account transfer.
Pros
- Focused on bonds
- Risk approache based on counterparties risk measurement
- Buid in scenario strategies and testing
- CDS are available for trading (exlusive offering)
- Portfolio construction
- Yield analytics
- Exotics: SWAPs, SWAPtions
- Sophisticated options analytics
- Currency forwards (exclusive offering)
Cons
- Equities - microstructure to consider detection of iceberg orders
- Build in algos for large trades execution
- Corporate or Banking level platform - not focused on mid sized business
- SAP connectivity
- Only Charles River Portfolio Management & Risk Analytics accounts
- No trading group accounts capabilities
- Needs arbitrage trading algo: spread, statistical, merger for stocks
Most Important Features
- Systematic: Charles River Portfolio Management & Risk Analytics is respectable custodian
- Trading: we want to focus more on bonds
- Trading: 1-10% of portfolion for exotic instruments like CDS, metal SWAPS
- Third party coonectivity to book keeping
- Available for API integrations
- Cloud Based
Return on Investment
- Neutral. We are in system migration process.
- We expect to get our P&L less volatile (+/- 5%). More international bonds in a mix
- Top custodian is our first priority
Alternatives Considered
Interactive Brokers, Active Trader Pro (Fidelity Investments) and E*TRADE
Other Software Used
Interactive Brokers, Active Trader Pro (Fidelity Investments), E*TRADE