Investment Management

Asset Allocation, Modern Risk Management, and Alternative Assets

Having worked with and consulted to pension funds and institutional investors on asset allocation, we are specialists in Post-Modern Portfolio Theory (based on improved downside risk measures), asset / liability research, and Dynamic Asset Allocation (DAA), which combines concepts of Modern Portfolio Theory with investment strategies (such as dynamic option replication, tactical asset allocation) and economic views.  

Asset Allocation (AA)

CARAT’s Asset Allocation Model applies improved risk measures, correlation assumptions, and may be customized for client input.  We have worked with most major asset classes. 

CARAT's principal's have worked with pension funds and institutional investors.

Risk Management 

CARAT's risk measures better capture the true risk involved with today's skewed performance return distributions.  

These measures yield an improved understanding of the underlying characteristics of asset classes and better yet: improve return/risk expectations.  

Performance Attribution

CARAT has a variety of analytical tools in its arsenal and applies these measures and models to better understand investment manager performance.  These tools include Monte Carlo analysis, Bayes Theorem, stress testing, VaR approaches, and more.  

Please contact us for further information.