PerTrac Financial Solutions has announced the release of PerTrac RiskPlus, a new returns-based risk analysis solution. The new product is a collaboration with FinAnalytica, a provider of real world portfolio risk solutions for multi-manager funds, hedge funds and asset management firms.

“PerTrac RiskPlus is a breakthrough for hedge fund investors seeking more sophisticated risk monitoring for their portfolios,” said Gerry Mintz, PerTrac President and Chief Executive Officer. “Using state-of-the-art statistics based on fat-tailed distributions, dynamic correlations and multi-factor models, PerTrac RiskPlus sheds light on opaque portfolios at a price far less than more traditional or position-based risk systems. It offers large and small investors tools previously available only with the purchase of a software platform costing almost ten times as much.”

PerTrac RiskPlus examines portfolio risk based on the monthly returns of each fund in the portfolio rather than each fund’s holdings, information which is either unavailable or impractical to acquire from hedge fund managers on a timely basis, and is expensive to analyze. RiskPlus is a powerful solution for essentially any hedge fund strategy, providing investors an insightful view of the risks to which they may be exposed.

“Our work with PerTrac will bring advanced risk analysis to a wider market,” said Dave Merrill, CEO of FinAnalytica. “RiskPlus puts our sophisticated, academically proven fat-tailed risk modeling into a scalable, easy-to-use tool that provides practical and actionable risk assessment.”

“We’re excited to work with FinAnalytica on this product,” noted Mintz. “The reports generated by PerTrac RiskPlus arm investors with information helpful in their due diligence and ongoing monitoring. They provide critical information that supports investment decisions including which managers may deserve greater allocations, which ones are problematic, and the questions you should ask managers, as well as how your portfolio can be expected to perform in market downturns.”