System and method of evaluating an investment portfolio

Abstract

A system and method for performing a diagnostic evaluation of an investment portfolio by categorizing the assets in the portfolio, establishing thresholds for each category and identifying assets that are not in compliance with the established thresholds.

1 - 11 . (canceled) 
     
     
         12 . A diagnostic method for evaluating investment portfolios comprising:
 a. electronically receiving a plurality of investment portfolios for a plurality of clients, each investment portfolio including a plurality of types of assets and at least one investment objective for the portfolio wherein the investment objective identifies the percentage of each asset type in the portfolio;   b. for each investment portfolio, selecting for each asset at least one evaluation category, wherein each evaluation category identifies criteria to be used to evaluate each asset;   c. by a computer processor, for each investment portfolio, establishing a plurality of thresholds for each evaluation category;   d. for each portfolio, determining the current market value for each of the assets in the portfolio;   e. by the computer processor, for each portfolio, classifying each evaluation category as a function of an amount of deviation of the evaluation category from the established thresholds;   f. by the computer processor, for each portfolio, assigning a score for each of the classifications of the evaluation categories for that portfolio;   g. by the computer processor, for each portfolio, determining an aggregate score using the assigned scores for all the classifications of the evaluation categories for that portfolio;   h. by the computer processor, ranking the portfolios as a function of the aggregate scores of the portfolios; and   i. displaying a listing of the ranked portfolios.   
     
     
         13 . The method of  claim 12  further comprising issuing an alert as a function of the aggregate score of a portfolio. 
     
     
         14 . The method of  claim 13  wherein the alert is based on an amount of time that a portfolio exceeds a suggested guideline. 
     
     
         15 . The method of  claim 14  wherein the alert is based on the occurrence of exceeding a threshold. 
     
     
         16 .- 24 . (canceled) 
     
     
         25 . The method of  claim 12  further comprising:
 j. receiving a selection of a displayed ranked portfolio; 
 k. by the computer processor, for the selected displayed ranked portfolio, identifying at least one transaction to perform that will change the classification of at least one evaluation category; 
 l. receiving a selected transaction from the at least one identified transaction to perform; and 
 m. executing the selected transaction. 
 
     
     
         26 . The method of  claim 25  further comprising the steps of:
 n. providing a user interface to display the selected transaction to a user; and 
 o. receiving instructions via the user interface to execute the transaction. 
 
     
     
         27 . The method of  claim 12  wherein the plurality of thresholds includes a concentration of an individual asset as compared to all assets held in the portfolio. 
     
     
         28 . The method of  claim 12  wherein the plurality of thresholds includes an industry sector allocation. 
     
     
         29 . The method of  claim 12  wherein the industry sectors include communications, utilities, consumer staples, energy, health care, financial services, industrials, consumer discretionary and technology. 
     
     
         30 . The method of  claim 12  wherein the step of classifying includes determining a difference between an actual concentration of an asset and a suggested guideline. 
     
     
         31 . The method of  claim 12  where the step of classifying includes comparing the determined difference with the plurality of thresholds. 
     
     
         32 . A system for evaluating an investment portfolio comprising:
 a memory for storing computer readable code; and   a processor operatively coupled to the memory, the processor configured to:
 receive a plurality of investment portfolios for a plurality of clients, each investment portfolio including a plurality of types of assets and at least one investment objective for the portfolio wherein the investment objective identifies the percentage of each asset type in the portfolio; 
 for each investment portfolio, select for each asset at least one evaluation category, wherein each evaluation category identifies criteria to be used to evaluate each asset; 
 for each investment portfolio, establish a plurality of thresholds for each evaluation category; 
 for each portfolio, determine the current market value for each of the assets in the portfolio; 
 for each portfolio, classify each evaluation category as a function of an amount of deviation of the evaluation category from the established thresholds; 
 for each portfolio, assign a score for each of the classifications of the evaluation categories for that portfolio; 
 for each portfolio, determine an aggregate score using the assigned scores for all the classifications of the evaluation categories for that portfolio; 
 rank the portfolios as a function of the aggregate scores of the portfolios; and 
 display a listing of the ranked portfolios. 
   
     
     
         33 . The system of  claim 32  wherein the processor is programmed to issue an alert as a function of the aggregate score of a portfolio. 
     
     
         34 . The system of  claim 33  wherein the alert is based on an amount of time that a portfolio exceeds a suggested guideline. 
     
     
         35 . The system of  claim 34  wherein the alert is based on the occurrence of exceeding a threshold. 
     
     
         36 . The system of  claim 32  wherein the processor is programmed to:
 receive a selection of a displayed ranked portfolio; 
 for the selected displayed ranked portfolio, identify at least one transaction to perform that will change the classification of at least one evaluation category; 
 receive a selected transaction from the at least one identified transaction to perform; and 
 execute the selected transaction 
 
     
     
         37 . The system of  claim 36  further comprising:
 a user interface to display the at least one transaction to a user, and to receive instructions to execute the at least one transaction from the user. 
 
     
     
         38 . The system of  claim 32  wherein the plurality of thresholds includes a concentration of an individual asset as compared to all assets held in the portfolio. 
     
     
         39 . The system of  claim 32  wherein the plurality of thresholds includes an industry sector allocation. 
     
     
         40 . The system of  claim 32  wherein the industry sectors include communications, utilities, consumer staples, energy, health care, financial services, industrials, consumer discretionary and technology. 
     
     
         41 . The system of  claim 32  wherein the processor is programmed to classify by determining a difference between an actual concentration of an asset and a suggested guideline. 
     
     
         42 . The system of  claim 32  wherein the processor is programmed to classify by comparing the determined difference with the plurality of thresholds. 
     
     
         43 . A computer program for evaluating an investment portfolio, the computer program comprising:
 a computer usable non-transitory medium having computer readable program code modules embodied in said medium for performing a diagnostic evaluation of an investment portfolio;   a computer readable first program code module for receiving a plurality of investment portfolios for a plurality of clients, each investment portfolio including a plurality of types of assets and at least one investment objective for the portfolio wherein the investment objective identifies the percentage of each asset type in the portfolio;   a computer readable second program code module for selecting, for each asset for each investment portfolio, at least one evaluation category, wherein each evaluation category identifies criteria to be used to evaluate each asset;   a computer readable third program code module for establishing, for each investment portfolio, a plurality of thresholds for each evaluation category;   a computer readable fourth program code module for determining, for each portfolio, the current market value for each of the assets in the portfolio;   a computer readable fifth program code module for classifying, for each portfolio, each evaluation category as a function of an amount of deviation of the evaluation category from the established thresholds;   a computer readable sixth program code module for assigning, for each portfolio, a score for each of the classifications of the evaluation categories for that portfolio;   a computer readable seventh program code module for determining, for each portfolio, an aggregate score using the assigned scores for all the classifications of the evaluation categories for that portfolio;   a computer readable eighth program code module for ranking the portfolios as a function of the aggregate scores of the portfolios; and   a computer readable ninth program code module for displaying a listing of the ranked portfolios.