APT Market Risk Models
APT delivers multi-factor models that use a pure statistical methodology based on market data, for factor definition. More than 50 multi-factor risk models are available in single country, regional and global varieties, including dedicated emerging markets and Arabian markets models. These models are used to estimate risk profiles for a multitude of asset classes including equities, bonds, currencies, indices, commodities, derivatives and funds.
Objectivity that helps ensure no poorly specified or arbitrary factors are included; while ensuring stability and responsiveness when you need it most. Regular updates make certain the models self-adjust to any market movements. This allows for a more rapid response when attributing the sources of risk to your portfolio. The use of sound statistical theory does not assume the normal distribution to ensure allowances for extreme events in "fat tails."
Extensive Asset Class Coverage
Instrument coverage extends over a multitude of asset classes including equities, bonds, currencies, indices, commodities, REITs and funds. In addition, Monte Carlo techniques can be implemented to the models to support derivatives.
Range of Forecast Horizons
Models are available in both short-term and medium-term risk forecasts.
APT multi-factor models are regularly tested by a team of experienced professionals, improving on existing methods and innovating where necessary.