Deal Enhances Existing Analytics Platform With Addition of Holdings-Based Attribution Capabilities
Atlanta, Georgia – December 4, 2012: eVestment, a premier global provider of comprehensive institutional investment data and cloud-based analytic solutions, announces the acquisition of StokTrib, a holdings-based attribution software solution that provides institutional clients with deeper insight into how portfolio returns are generated. StokTrib is the fifth acquisition by eVestment in recent months as the company continues expanding its global capabilities to encompass multiple financial disciplines. The company also purchased PerTrac and Fundspire earlier in November, along with ASAP Advisor Services and Hedgefund.net, in 2011. Terms of the deals were not disclosed.
StokTrib seeks to more accurately evaluate a manager’s effectiveness by creating and using custom passive benchmarks that reflect the allocations and style of the manager. The solution determines “effective performance” which incorporates the performance effects of changing allocations to a stock position as opposed to a constant allocation to that holding.
The acquisition of holdings-based capabilities complements the recently announced “Peer Alpha” solution from eVestment which allows asset managers to compare their portfolios against the average peer portfolio. eVestment serves over 2,500 world-class clients across the entire investment industry spectrum, including traditional and alternative money managers, consultants and financial advisors, funds of hedge funds, corporate and public pensions, endowments and foundations, sovereign wealth funds, banks and brokerages.
“As market volatility continues to increase, institutional consultants and investors are demanding a higher level of sophistication in their manager research and due diligence efforts,” says Matt Crisp, Co-Founder & Chief Operating Officer of eVestment. “Our clients are asking for an easy yet powerful approach to highlight their skill as portfolio managers through quantitative portfolio attribution. This new functionality from StokTrib that will be integrated into the eVestment platform will offer clients the opportunity to present their capabilities in a dynamic user interface as well as through an expansive reporting platform.”
StokTrib is a product that was created by Ron Surz, a long-time industry veteran and president of PPCA who has spent the majority of his career as an investment consultant. Over the last decade, Ron has spent much of his time designing, developing and enhancing the capabilities of the StokTrib application to aid in the manager research process to further distinguish and identify asset manager skill. The tool he has developed helps to improve the level of research and understanding that consultants and investors have about the products and/or funds they or their clients are invested in.
“I am very pleased to see the power of the StokTrib tool meet the distribution and synergy of the eVestment business,” states Surz. “Current clients will benefit from the resources and scale of eVestment and I look forward to contributing to the eVestment team as we integrate the StokTrib capabilities into the eVestment platform.”
About StokTrib (www.stoktrib.com)
StokTrib is a holdings-based portfolio attribution system that allows clients to identify and isolate performance returns that can be attributed to manager skill rather than style. The technology behind StokTrib helps the institutional consulting and investor communities to make optimal decisions as it relates to manager selection and on-going manager monitoring.