Riskalyze recognizes a host of UITs in our database. To add a UIT to a portfolio, simply use the Add Investment Field to search by name or identifier for the UIT you need.
If a particular UIT is not showing up, there are a few ways to incorporate it into your client’s portfolios manually. Check out the video and written steps below for three options for modeling UITs in Riskalyze.
In This Article
- Option 1: Using a Previous Series or Assigning a Proxy
- Option 2: Creating a Custom Investment (Common)
- Option 3: Creating a Custom Investment (Advanced)
Option 1: Using a Previous Series or Assigning a Proxy
- Using a Previous Series
- Setting a Proxy
Option 2: Creating a Custom Investment (Common)
- Use a UIT's fact sheet to determine what historical 6-month return and volatility (standard deviation) statistics should be entered into the dropdown
- Simply use the UIT's historical annualized performance (divide by 2 to turn it into a 6-month number) and enter the standard deviation in the volatility input:
Option 3: Creating a Custom Investment (Advanced)
The most analytical advisors identify the precise 6-month probable risk range for each of their favorite UITs and then enter that risk range into the 6-month risk/return scenario as the worst case and best case.
- Go to DRAFT MODELS inside Riskalyze and import the existing holdings for the UIT
- This requires visiting the UIT company's website and exporting the existing holdings to a spreadsheet before importing them in a draft portfolio in Riskalyze.
- Once you've imported the UIT holdings, take note of the 6-month Historical Range under the Risk Number:
- Then, go to the portfolio(s) that contain that UIT and click on the UIT to reveal the drop down.
- In the drop-down, enter the 6-month worst case/best case figures you noted from the holdings import. Riskalyze will calculate the probable return and volatility:
- Click SAVE and you're done!