Raise Partner traces its origins to 2001 when a researcher into applied mathematics in aeronautics recognized similarities between automated flight control and financial portfolio optimization. 

In both contexts the mathematical challenges focus around a problem of robust optimization based upon partial information and approximate models. Aircraft self-navigation through heavy turbulence proves that effective decisions are possible in such an environment.

Research into portfolio optimization and related financial metrics in a context of uncertain data and models is at the heart of Raise Partner’s business today, as is the concept of “robustness”. The firm has built a successful solutions and consulting business around this core expertise, differentiating itself from the traditional statistical based schools of financial engineering.

Raise Partner’s clients are amply able to demonstrate the value of proactive and robust risk management, benefitting from early systemic risk detection, dynamic and extreme risk analysis and the resultant positive impact into investment decision making. The firm has worked with G10 governments, sovereign funds, hedge funds, investment banks and asset managers. 

Raise Partner solutions and consulting services include:

• Portfolio risk/return optimisation under N constraints for ex-ante/pre-trade risk analysis and re-diversification (including drawdown minimisation),
• Robust conditional VaR measures for cross asset class portfolios,
• Intelligent hedging overlays for illiquid portfolios and reduced hedging costs,
• Fund scanning: robust decomposition and/or replication to identify systemic risk,
• Patented bespoke correlation matrix service,
• Robust dynamic beta estimation and risk model calibration.