It adopts a “robust optimisation” technique aimed at creating investment portfolios that can withstand uncertainties in market conditions such as expected returns and risks, thereby delivering stable returns.
The Bank of Singapore has launched a new framework for its clients to build “resilient, long-term investment portfolios”, according to a release.
Called the strategic asset allocation framework, the framework has been developed by the bank’s chief investment officer through a year-long study and stress testing of 120,000 portfolios.
