G-Sphere's broad range of features gives you the tools you need to make informed, consistent and reliable investment decisions.

Diversification Optimization Optimization and Allocation

The Correlated Vector Dominated Region Allocation Model (Diversification Optimization) is a new asset allocation model that takes into account portfolio risk, diversification and return. Diversification Optimization has diversification at its core. G-Sphere uses a genetic algorithm to solve the calculation-intensive Diversification Optimization. Our methodology gives you greater freedom to tackle any portfolio with confidence. Portfolios created using Diversification Optimization have been shown to consistently outperform major US indexes with reduced risk on both in sample and forward testing.

Monte Carlo Simulation

All model portfolios have uncertainty associated with them. G-Sphere's advance Monte Carlo simulation gives you the tools you need to simulate this uncertainty. G-Sphere allows you to simulate any combination of risk, return and correlation. The simulation outputs minimum, maximum and average allocations and asset efficiency ratios. The Monte Carlo simulation also outputs each iterations individual risk, return, Sharpe Ratio and portfolio statistics. Visualize the Monte Carlo simulation results in any statistical sort order you choose. The user can analyze, understand and apply the simulation's recommended asset allocations to their portfolio.

Holistic Portfolio Visualization

G-Sphere most unique feature is the ability to look inside any portfolio and ascertain the interrelationships and dynamics of the portfolios components. This lets you know where the portfolio is strong or weak and how it compares to other portfolios. You can select from 11 various visualization tools to create thousands of unique visualizations that help you understand and communicate portfolio information.

Multi-Sampling and Sample Weighting

Asset allocation models depend on historical return, risk, and correlations. Many software platforms use a standard sample period that the user cannot define. G-Sphere allows the user to choose the sample period. Further more the user can use the weighted average of multiple sample periods creating more reliable return, risk and correlation projections.

Common strategies are to add extra samples of the most recent data that effectively weigh more recent data heavier, combining data frequencies for better correlation expectations, and taking a tactical disposition such as, “I think we are in an economic cycle similar to that in 1994-1997.”

Moreover, G-Sphere reports the results of your multi samplings with complete compliance integrity…and of course great graphics.

Back-Test

Every optimization looks great applied to the historical data that it was created with. The real test is in the future. To help your portfolio perform as predicated, G-Sphere includes a back testing engine that allows you to apply your portfolio to any historical periods of your selection. Consistently of performance metrics leads to robust performance for your capital and clients tomorrow.

Data Integration

G-Sphere licenses include database access. Our Database contains approximately 90,000 assets. This is one of the most comprehensive collections in the industry. Included Free! Data is loaded constantly from over 40 vendors and always screened for integrity. Additional data vendors can be snapped in. Your data is delivered via a secure VPN. The two primary data sources we utilize are:

Our standard data set includes:

Available per request:

Risk and Return Estimations

Common asset allocation platforms assume that historical returns, risk and correlations are good predictors of the future. As we all know, historical returns are a poor predictor of future returns. Historical risk are better predictor of future risk, but not perfect. G-Sphere has powerful data conditioning tools that allow the user to depend less on historical return and risk. G-Sphere uses the James-Stein Estimator to normalize the estimations. This allows the optimization to obtain realistic allocations and sharpen the focus of the process on diversification.

Client Reporting

To make your job easier G-Sphere has excellent reporting tools. G-Sphere's reporting allows the user to quickly output reports to PDF, HTML or as a picture file. Reports include graphs, portfolio statistics, individual asset statistics, and summary reports. Match the look and feel of your reports to you firms brand.