Wellguard Asset Monitor
The Wellguard Asset Allocation Monitor aims at enabling the professional operator like family offices, banks and insurance companies to implement the asset evolution over time in line with the wish of his clients. In this respect, the asset evolution over time is important in order to maintain a long-time relationship with the client.
Downward risk of the selected Asset Allocation
The monitoring of the downward risk over time is of the utmost importance to maintain a long-term relationship with the client. Whenever the fortune evolution reaches the minimal acceptable wealth level a crisis of confidence arises between the advisor and his client. In a worst case scenario, the client’s minimal needs might be jeopardized. On the chart below, the wealth evolution, the blue line, turns out to be a failure as the relationship stops in year 5, as the actual wealth level is heading for the minimal wealth level.
three possible assets evolution cases in practice. The blue line is the evolution of a failure case as the assets reach the pain threshold of the client’s minimal acceptable wealth level
Downward risk of the European Equity Markets
The added value of the Wellguard Asset Allocation Monitor is clearly to be seen on the chart hereunder. Thanks to an active monitoring of the downward risk, assets gradually grow over time, in line with the client’s expectations, unlike the Euro Stoxx 50 index tracker, where the assets reach the client’s minimal acceptable wealth level on three occasions.