Enterprise-level financial advisory firms face unique challenges when it comes to managing risk.
Leaders must remain vigilant in scanning for macro events that could impact their firm’s revenues and performance. Then, there’s the issue of creating consistency in how advisors handle risk for clients across the firm. Without a unified enterprise risk analytics tech solution, keeping everyone rowing in the same direction can be challenging.
Orion Risk Intelligence is designed to help leaders improve visibility into risk. When you can see the big picture and how it might impact you at any level, you have the opportunity to address those potential risks proactively.
Let’s explore how enterprise risk analytics can help leaders achieve their growth goals and fiduciary duties simultaneously.
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1. Access Current Risk Intelligence Data
Some enterprise risk analytics tools are built around historical events. But, as we all know, comparing present-day situations to past occurrences will only get you so far.
What historical scenario could have helped us understand the financial implications of the COVID pandemic? As we face new disruptions, it’s handy to have a tool to help us look ahead rather than into the past.
Orion Risk Intelligence offers back-tested scenarios that are updated weekly with the latest market data points. By working with up-to-date business intelligence, our stress testing scenarios provide users with a tool grounded in the here and now, unlike some backward-looking alternatives.
2. Run Stress Testing at Every Level
When market volatility hits, it could impact your firm in myriad ways. You need a tool that allows you to stress test at every level to spot where your business potentially faces exposures.
Stress testing is available at the firm, advisor, client, and portfolio level with Orion Risk Intelligence. This allows you to be more proactive in addressing potential risks.
You can identify advisors who may need additional support. You can reach out to clients who may be most affected based on their current holdings and provide suggested adjustments. And you can zero in on portfolios that might present either outsized risks or potential rewards.
3. Proactively Address Firm & Client Risks
Firm leaders ideally wish to be a step ahead in adjusting for potential macro risks — not just for their clients but also for their own businesses. Orion Risk Intelligence helps you visualize potential impacts to your revenues at the firm, advisor, client, and portfolio levels.
As you see how a macro event could impact your business, you can make needed shifts, like identifying asset management changes to best align your clients with their needs.
4. Blend Scenarios To Test Risks You Care About
Sometimes assessing your risk with one scenario just isn’t enough. You’re constantly scanning the horizon for macro risks that could come from any corner of the globe, and the Orion Risk Intelligence tool allows you to blend scenarios as needed.
How might Fed rate hikes combine with fluctuations in oil prices to impact markets? Run these two scenarios together, or use the free-form stress testing tool to adjust levers and create a custom scenario.
5. Generate Consistent Risk Results
Once you’ve blended your scenario outcomes, you can apply them to generate consistent risk results. Whether you’re working with AdvisorAsPM, internal models, or managed account model experiences, you can put Risk Intelligence scenarios to use.
This helps your entire team remain consistent in understanding, approaching, and reacting to risk, which in turn assists in delivering better results for your clients.
The best risk intelligence solutions help you improve visibility and plan for potential macro impacts. With Orion Risk Intelligence, you can assess risks across dozens of dimensions. Whether you’re looking for insight into insulating your firm or better serving your clients, Orion Risk Intelligence can help.
Ready to explore how Risk Intelligence can support your enterprise-level firm? Schedule your demo today.