Concepts and Objective in Portfolio Construction
With our qualitative analysis, we can select funds with higher expectation, and seek highest and most stable portfolio performance by our technology to optimize fund weighting. We construct fund portfolios to achieve target investment return for more controlled risk within the guideline of the Fund of Funds. We are Japan’s largest full-time fund investment advisor for AUA, and thus have a certain level of fee bargaining power against target fund management companies.
Sample of Portfolio Construction
NFRC holds own fund data base that combines the latest commercial data base sources(total approx. 350,000+) and its own source (approx. 2,500+). The Chart below indicates how we proceed to evaluate funds in selecting Japanese Equity Fund of Funds.
Apx. 2,500+ names
NFRC Original Database
Apx. 350,000+ names
Funds mainly investing in Japanese Equity
with more than 3years of track records
Quantitative Data Analysis of various aspects
Suitability check for the planned characteristics of FOF
and the additional candidates following such checks
Qualitative Analysis Universe
Reviewing our historical research information and other public information
In-depth Qualitative Analysis
On-site manager interview. Qualitative assessment, Business commitment, etc..