Morningstar EnCorr For Asset Managers

U.S.A.

Morningstar® EnCorr®
Capital markets research and asset allocation modeling.


		Overview


		Who Uses EnCorr


		Asset Allocation


		Portfolio Implementation


		Resampling Benefits


		Charts and Reports


		Data Sets and Investment Types

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Morningstar EnCorr for Asset Managers

Asset managers use Morningstar® EnCorr® to develop portfolios built on sound asset allocations, whether they are creating funds of funds, target date funds, or insurance products. EnCorr’s tools not only help establish new products, they also evaluate existing allocations and determine where to make adjustments to manage risk.

What you can do:

Create allocations for insurance portfolios and funds of funds

	Tap into extensive index, capital markets, and investment data
	Develop capital market assumptions
	Run optimizations to identify the best risk/return tradeoffs

EnCorr offers a full suite of analytical tools that help build a solid foundation for optimal insurance portfolios and funds of funds. These tools draw from Morningstar data on a variety of investment types, as well as expansive index information and Ibbotson® SBBI® capital markets data back to 1926. Users can define their own capital market assumptions, built from their choice of expected returns methodologies including the Ibbotson building blocks and Black-Litterman models. Portfolio managers use EnCorr’s robust optimizer, which applies a proprietary resampling methodology that creates more diversified portfolios than traditional mean-variance optimization (MVO).

More about how EnCorr helps develop asset allocations

More about the importance of resampling in EnCorr

Test and apply investment decisions

	Create funds of funds, lifecycle/target-date funds, and insurance products
	Simulate real and nominal return forecasts
	Select managers to implement portfolios
	Backtest investment strategies

After establishing an asset allocation, portfolio managers can use EnCorr to simulate future returns with Monte Carlo simulations or run forecasts. A scenario builder tool allows users to specify time periods and market conditions to determine how well different asset allocation plans might perform under similar conditions. Portfolio managers can implement their plans, selecting managers with the help of EnCorr’s peer group analysis, returns-based style analysis, and performance analysis capabilities.

More about implementing portfolios with EnCorr