Portfolio Construction
A key element of the APT offering is portfolio construction and rebalancing via optimization.
The APT optimizer allows clients to find the best trade-off between risk and return when managing any portfolio. The user can concentrate on identifying sources of alpha and specifying other investment preferences, while the APT optimizer utilizes the risk models to ensure that risk requirements, whether mandated by regulators or within the investment firm, are complied with. This rigorous process is useful for both asset allocation and stock selection, and can be combined with other portfolio construction methodologies within judgemental strategies.
The APT optimizer is based on efficient modern algorithms so as to provide rapid solutions to the most challenging and large-scale portfolio construction problems.