Is your investment portfolio truly diversified?
Research shows that only 40% of Australians understand the concept of diversification and as many as 40% of Australian investors believe that their portfolio is not diversified.
At the same time, 54% per cent of Australian investors say they are only prepared to take low risk or no risk at all. With diversification, investors can reduce their portfolio risk while maintaining an expected return. And yet the need for diversification, the core concept of the Nobel Prize-winning Modern Portfolio Theory (MPT), is only a top consideration for 30% per cent of Australian investors[1].
The data shows that Australians are unclear on their investments. Without industry-leading data, information, and insights how can they be expected to reach their investment potential?
Australian Fintech member LENSELL® is committed to changing that by providing users with a suite of innovative applications to access novel financial and non-financial corporate performance insights quick, easy and affordable. LENSELL® has taken its applications’ range to another level by launching its new and improved portfolio planning tool – Diversiview®
Key Features of Diversiview®
- Novel insights into the structure and diversification of investment portfolios.
- Ability to design multiple portfolios and easily compare insights.
- View impact of digital currencies on the portfolio’s overall risk and performance.
- Understand portfolios’ health and performance benchmarked to the entire market – including indicators such as total expected return, total volatility of returns (portfolio risk), Alpha and Beta.
- Ability to understand the real, deep portfolio diversification and its impact on portfolio risk.
Moreover, Diversiview® has a unique feature – the novel Balancer functionality that employs Markowitz’ Modern Portfolio Theory and the Efficient Frontier theory to the point. It lets users calculate the Minimum Variance Portfolio (portfolio with minimum total risk) and the Optimal Portfolio (portfolio with maximum possible return at the minimum possible risk) for their selected securities.
All over 2000 ASX listed securities and the top 15 cryptocurrencies are available for portfolio analysis with Diversiview. US stocks and ETFs will be added soon.
Diversiview® also provides access to a free research-based risk tolerance questionnaire that helps users understand their personal financial risk tolerance level and to consider how it matches with the risk of the portfolios they create.
Try Diversiview for FREE at www.diversiview.online.
Every investor hopes for transparency and stability in their investment journey and designing a diversified portfolio that suits one’s risk and return expectations may be complicated and expensive without the right tools. Diversiview® is aimed at retail investors that want to design new investment portfolios or to validate the structure and diversification of their existing portfolios.
[1] ASX Investor Study Report, 2020; https://www2.asx.com.au/blog/australian-investor-study
