WORKFLOW USE CASE

Portfolio Rebalancing at Scale

Everysk’s library of digital robots is capable of rebalancing portfolios, converting target weights into trades, staging orders in an OMS, and much more. Everysk can scale this process to run thousands of portfolios in parallel, calculating model drift, generating reports, and surfacing portfolios to rebalance in minutes. Utilizes: Eight digital robots

Rebalance Portfolios in Less Time With Intelligent Automation

Multi-strategy asset and wealth managers often have large amounts of portfolios that require regular rebalancing against a model portfolio or alpha signals. These strategies can be spread out across hundreds of managed accounts that subscribe to similar profiles or custom portfolios that blend strategies together. Without the proper tools, the required rebalancing trades may need to be calculated in spreadsheets, entered manually into an OMS, and lack any comprehensive audit trail.

Everysk’s automated workflows can create enormous efficiencies for asset and wealth managers. With this workflow, Everysk rebalances thousands of portfolios in parallel, all mapped to appropriate strategies and accounts. Connect the pre and post-trade portfolios to Everysk’s native risk engine and generate reports with trade summaries and contributors to changes in risk and exposure. Aggregate orders on overlapping positions and allocate trades with customizable logic. Distribute summary reports and approval buttons to investment officers, adding human oversight to multiple stages of the automated rebalancing workflow.

Everysk drastically reduces the rebalancing process from weeks to hours, minimizing manual labor and operational risk associated with running mass portfolio rebalancing. Automate and optimize portfolio rebalancing by leveraging an automation platform specifically designed for capital markets.

Explore the workflow in detail below.

Comprehensive Review

Portfolio Rebalancing at Scale

Asset managers that utilize Everysk Portfolio Rebalancing reduce operational risk in less time. Keep reading to see the robots that power the workflow.

Portfolio Retriever

Starting portfolios are parsed from the client’s source of choice, stored in the system and tagged for easy retrieval. The Portfolio Retriever retrieves the latest client portfolios for comparison against their model portfolios. This can run thousands of portfolios in parallel, leveraging Everysk’s cloud infrastructure to scale up as needed.

Portfolio Strategy Map

The Portfolio Strategy Map references a mapping table that maps each portfolio to its assigned model portfolio. This mapping table is set by the client and can support blending multiple strategies.

Model Retriever

The Model Retriever looks up the appropriate model portfolio based on the strategy selected in the previous robot. This can be stored in a single datastore or kept in different datastores depending on the frequency and complexity of the model updates.

Drift Calculation

The Drift Calculation robot compares the starting portfolios with the new model portfolios, determines which securities / categories have drifted more than 1% from their target weight.

Drift Check

The Drift Check is a conditional robot that checks whether a portfolio needs to be rebalanced based on if any of the target exposure levels have breached the client’s defined threshold.

Portfolio Rebalancer

Based on previous results, the rebalancer calculates the trades needed to get the portfolio back in line with the target exposure levels for all necessary securities and strategies.

Portfolio Report Generator

This robot summarizes the suggested trades for each portfolio and strategy, storing a report in Everysk that can be linked and distributed. Downstream, a holistic report can summarize all portfolios in a batch.