Investmentexcel.com offers 4 standardized investment portfolios for each of the following 5 regions in the world. The United States, the United Kingdom, the EU, Denmark and India.

All currently 20 standard portfolios are rebalanced online minimum twice a year (30.06 and 31.12), and are represented and engineered in the robotized passive-only product “August Investment solutions” (AIS)´. AIS solutions are globally diversified and optimized portfolios, subject to hard constraints on e.g. asset weights, responsibility ESG score, currency and “home-bias”.

Investmentexcel.com also offers a flexible client-driven tool, “August Invest Customized” (AIC) where explicit and customized investment objectives, constraints and general premises, can be integrated into an all-in financial solution. AIC is targeted both private investors and institutional investors.

AIC is not limited to our 5 standard regions. So, if you are a Russian, Chinese or Australian investor we can set up the AIC for you as well. In the same professional setup supported by newest independent academic research. AIC applies to the asset side of the balance sheet, to the liability side and of course to a mix in between (Asset-Liability Management, ALM).

AIC solutions also involve financial modelling beyond the passive or indexed global asset class (funds) investment universe. Hence, we build portfolios for individual country specific securities including stand-alone securities as equities and bonds. Further, we assist in building benchmark or strategies for use in delegated portfolio management to e.g. a bank or an Asset Management company.

Below we describe some classical and core client-driven cases we deliver.

Case 1: Screening and optimizing retirement plan

We provide detailed and 360 degrees screening of your current investments and perhaps current advisors in the form of e.g. a bank. Our screening applies to various sorts of investments, including retirement and cash-at-hand. The screening objective is to identify if the current true invest configuration is aligned with client objectives. If not, we suggest required changes.

Case 2: Higher or lower risk profile

All standard August Invest Solutions can be modified to mirror client objectives and constraints. If you desire even higher risk than the highest risk proposal in August Opportune Invest, this is indeed possible. Of course, we also deliver suggestions should you desire a lower risk than the lowest risk proposal in August Safe Invest. Last, all constraints on say equity versus bonds can be modified according to your desired constraints

Case 3: More “Green” or higher ESG-score profile

The AIS portfolio weights of “green” equities and ESG equities are fixed in the standard setting. These can be changed so a portfolio can be 100% equities with high ESG score instead of currently e.g. 20% only. We will deliver various simulations of the risk-return consequences of changing these constraints. In this case you will be able to identify if there is a positive or negative trade-off between e.g. adding more “green” equities and expected portfolio return.

Case 4: Specific target return or cashflow on horizon

Given your current personal economic status, ideas and hopes about future wealth and cashflows from your portfolio, we build and recommend a suggestion, that will meet your expectations. By reverse-engineering of the portfolio construction, we simply configure a portfolio with a certain risk level that will ultimately deliver the wanted cashflows or return. Say, you have USD 100.000 today and you need USD 200.000 in 3 years. We then calibrate a portfolio to have a risk-return profile that maximizes the chance of delivering USD 200.000 in portfolio value in 3 years.

Case 5: Building a benchmark for delegated management

Investmentexcel.com helps institutional investors preparing prospects for delegating (outsourcing) their asset management to an external bank or Asset Manager. The process of developing an appropriate benchmark that constitute the strategic portfolio profile, is an immense and rigorous challenge, yet extremely critical.

Often it is not a matter of simply setting an equity/bond target in a balanced portfolio or a duration target in a bond portfolio. Also, considerations of other assets or liabilities on the side of the institutional client, must be taken into account.

Case 6: Property and debt - afraid of interest rate increases

Property or house is the single largest asset on most household’s balance sheets. Real Estate in general is an asset class that is included in financial portfolio modelling. It is defined as a real asset. Nevertheless, it has measurable risks and returns just like any other financial asset. When private investors manage their portfolio of financial assets it often a good idea to have an eye of both the owned property, and perhaps the funding (debt, loan).

Not many private investors recognize that they have two other big items of their private balance sheet. Property and debt. To risk-return manage the aggregate household economy, an asset-liability screening is required. This takes into account both interest rate risks stemming from the property and debt, and equity risk.

Case 7: The unconstrained portfolio

All standard portfolios in August Invest Solutions are constructed with respect to a large set of restrictions or constraints. These constraints constitute a pre-condition for delivering relatively stable and low-cost portfolios across time. The immediate negative trade-off is that the solution in terms of the weights are normally not the theoretically most optimal ones.

Leaving out all constraints on equity weights, bond weights, regions etc., gives the so-called “unconstrained solution”. This weight composition in practice always has a better Sharpe Ratio. A better risk and gross return profile, but at the expense of an expensive (high trading turnover) and unstable portfolio structure. Investmentexel.com of course offers this unconstrained solution, should that be in the interest of the client.