For decades, investors have sought to combine the flexibility of stochastic scenario modeling with the efficiency of closed-form optimizers, especially for complex objectives like PVDE.
Ortec Finance’s new Scenario-Based Machine Learning (SBML) approach addresses this, using AI to optimize nearly any risk-return objective within a stochastic framework. By training an “AI investment agent” on thousands of simulated scenarios, SBML identifies high-performing portfolios that traditional methods might miss.
This whitepaper dives into how AI is revolutionizing scenario analysis techniques, transforming the stochastic scenario approach—a backbone of investment decision-making for decades—and enabling smarter, faster, and more strategic decisions across industries like pensions, private wealth, and insurance.
Download the whitepaper ‘How AI can help manage insurance portfolios’
Contact
Hamish Bailey
Managing Director UK, Head of Insurance & InvestmentRelated Insights
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30 October 2024How AI can help manage insurance portfoliosHow AI can help manage insurance portfolios
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29 October 2024Quarterly Outlook: Q3 2024The outlook is based on the Ortec Finance Economic Scenario Generator (ESG) and offers our perspective on recent developments in the economy and capital markets.
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23 October 2024Quarterly Pensions Investments ReviewThe Quarterly Pensions Investments Review is a comparison in expected risk and investment return.
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01 October 2024Ortec Finance appoints Maurits van Joolingen to head Climate & ESG SolutionsMaurits van Joolingen will be responsible for Ortec Finance’s climate scenario analysis tool to support the risk management needs of financial institutions.
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16 September 2024Solving the Illiquidity ProblemHow can pension funds cope with this liquidity crunch? Fund managers and trustees need a new toolkit, first to understand the current and future illiquidity risks they face, and second, to identify ways to manage the illiquidity problem. To address this challenge, we teamed up with our client CalPERS to work on an approach to help capture liquidity dynamics in our ALM model.
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11 September 2024How to improve stress testing for climate changeLearn how financial institutions can understand and prepare for extreme climate risks with climate stress scenarios
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03 September 2024Beware how financial markets are pricing in climate riskAn inconsistent approach and general lack of understanding is heightening risk
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15 August 2024Think Tank - A climate-informed investment approachLearn how leading institutional investors are addressing climate risks at a special Ortec Finance event held alongside the 2024 PRI-in person conference
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30 July 2024Ortec Finance updates its climate scenario analysis offering to include NGFS Phase IV climate scenariosOrtec Finance releases Phase IV NGFS-based climate economic and financial datasets under its ClimateMAPS – climate scenario analysis solution