Buying a home is one of the most significant financial decisions we make in our lives. However, we are often not equipped with sufficient context in order to approach mortgage decision-making. OutRank API equips mortgage providers with superior analytics that can power consistent, high-quality and fast customer journeys, turning a stressful process with many unknowns into a simple, cost-efficient and engaging experience.
Our financial lives are becoming increasingly complex and it is becoming more challenging for consumers to navigate through the intricacies of their credit exposure. Kidbrooke's Credit and Mortgage Analytics delivers a range of insights:
In this article series, we present a machine learning-based approach to solving a common problem in financial modelling where one is faced with the task of estimating the value of a function which requires a significant amount of computation to evaluate. More specifically, a function that corresponds to a so-called nested simulation aimed at, for example, estimating a capital requirement for a financial institution or the risk associated with a structured product for a retail investor.
In the third and the final part of our “Portfolio Construction” article series, the findings of the previous sections are applied to a broader and more realistic set of assets to evaluate the performance of the proposed methods against more conventional techniques.
The modern wealth management industry still relies on the 50-year-old approaches to portfolio management, widely popularized by Markowitz's Modern Portfolio Theory (1952). Despite heavy criticism within the academic circles, the alternative methods remain undeservingly overlooked in practice. In the context of the modern leap for hyper-customization, we look into one of the alternatives to Modern Portfolio Theory in greater detail - the Utility-based approach.
The second part of the “Portfolio Construction”-series explores whether introducing parameter uncertainty to the model would improve the out-of-sample performance of the optimal portfolio. Additionally, the article proposes and tests two adjustments to regular utility optimisation.
There is a number of challenges associated with portfolio construction based on historical data. This three-part article series explores some of the most common issues attributed to the model-based portfolio optimization: the sensitivity to changes in data, large variations in portfolio weights and the bad out-of-sample performance.
In the first part of the ”Asset and Liability Management using LSMC” article series, we outline an ALM framework based on a replicating portfolio approach along with a suitable financial objective. This ALM framework, albeit simplified, is constructed to provide a straightforward replication of the complex interactions between assets and liabilities. Moreover, a brief introduction to the LSMC method used to generate all underlying risk factors is presented.
Kidbrooke’s Economic Scenario Generator is an API that enables a spectrum of firms to model possible future states of the global economy and capital markets to drive a wide range of portfolio and risk management decisions.Learn more
Kidbrooke’s Balance Sheet Simulator is a critical element of OutRank API responsible for constructing future cash flow trajectories on the balance sheet level.Learn more
Kidbrooke’s financial decision support toolkit is a collection of APIs that support investment goal creation, risk profiling and investment product ranking.Learn more