Hong Kong-based Income Partners Asset Management, an independent fund management company specializing in Asian investments, has implemented SunGard’s APT multi-asset risk modeling solution to help analyze and manage risk on the firm’s new equity fund, the IP Asian Equity Long-Short Fund. Income Partners uses APT’s Asia Pacific ex-Japan equity model to help gain an understanding of portfolio risks.
Income Partners needed a pure Asia Pacific model that generates risk factors based solely on Asian equity returns, and provides an accurate view of risk by analyzing style scores, sector risk, country risk and other aspects. The firm also required a scalable system that can be used for its other funds’ trading fixed income products, in support of multiple strategies and business growth. SunGard’s APT helps Income Partners measure and forecast risk, construct portfolios, and perform rebalancing in an application service provider (ASP) environment.
Agus Tandiono, partner and cio for equities at Income Partners, said, “We chose SunGard’s APT because it uses a statistical model that helps to identify a fund’s tilt toward growth, value, momentum or other style characteristics, rather than pre-specified risk-factor modeling or value-at-risk. APT also offers transparency into the fund’s risk exposure by providing details into each security’s contribution, which enhances the portfolio manager’s ability to effectively manage risk and make decisions. We also chose APT for its scalability – the ability to add additional funds and asset classes to the platform in the future was a key benefit for us.”
Emanuel Mond, president of SunGard’s alternative investments business, said, “Income Partners is a well established fund manager. Their selection of APT helps to solidify SunGard as a leading service provider to the Asian hedge fund community. APT provides regional and country models that reflect Asian market characteristics as well as the local knowledge and support. As markets become increasingly volatile and harder to predict, we are seeing more and more customers looking to APT for accurate risk forecasting. Our staff presence in Singapore, Hong Kong, Sydney, Tokyo and China will help meet our customers’ needs.”
