CMRA provides risk and investment management consulting for Endowments, Foundations, Family Offices and other Institutional Investors. Our team of experienced industry professionals works closely with each client to develop and implement customized risk and return evaluation processes. CMRA's high level of client commitment is reflected its willingness to meet your specific investment needs.
 

Click to view:

• What is Risk? - Chapter 1 of Hedge Fund Risk Transparency: Unraveling the Complex and Controversial Debate
• IAFE Investor Risk Committee’s Hedge Fund Risk Transparency Survey 06/06.
• AIMA/CMRA’s Hedge Fund and Fund of Fund Survey Risk Management results.
• AIMA/CMRA’s Hedge Fund and Fund of Fund Survey Transparency results.
• CMRA’s RISK INSIGHTS - Transparency: Pros & Cons.
• CMRA’s RISK INSIGHTS - Performance Measurement & Attribution.
• CMRA survey of Fair Value/NAV practices.
• Leslie Rahl’s best selling book on risk budgeting.
• IAFE Investor Risk Committee’s latest findings regarding hedge fund transparency.
• CMRA’s “How to Select a Buy-Side Risk Management System”. Also with a detailed comparison matrix.
• Risk Standards for Institutional Investors.

CMRA Services

• Redefine asset allocation process to incorporate risk budgeting
• Build risk management infrastructure and processes
• Develop risk visualization tools
• Develop risk benchmarks by style
• Hedge fund risk transparency
• Enhance investment selection process to include broader range of asset categories
• Implement Value-At-Risk, Stress Testing and Scenario Analysis
• Develop meaningful risk limits and set firm-wide risk appetite
• Provide independent risk oversight and internal audit services
• Introduce customized risk and P&L reports
• Design and implement risk adjusted performance measures
• Develop or review investment guidelines, policies and procedures
• Assess impact of changes to covenants, regulations and partnership agreements
• Valuation of complex instruments
• Review business processes for operational risk using pragmatism and experience
• Design reporting requirements for internal and external investment managers
• Build customized benchmark indices
• Enhance external fund manager evaluation process
• Provide due diligence for private equity investments
• Derivatives / structured products / alpha transport

Selected Assignments

Reviewed risk management policies and practices at a large university endowment.

Conducted a multi-client study on buy-side risk management.

Performed a review of risk management requirements for a $100 Billion+ money management complex.

Conducted risk reviews of outside managers for a large foundation.

Analyzed the style consistency of a value manager.

Designed and implemented a Value at Risk process for a large hedge fund.

Conducted an independent risk assessment for one of the largest mutual funds groups for each of its fund's portfolios, and designed and implemented risk management policies, controls and procedures for all financial activities. In addition, CMRA conducted a training session for the Board of Directors.

Served as Technical Advisors and Coordinators to the Risk Standards Working Group in the development and release of the Risk Standards for Institutional Investment Managers and Institutional Investors. The combined Working Group and Comment Group consisted experienced individuals from over 70 major pension funds, endowments, foundations, insurance companies, investment managers, master trustees, regulators, consulting firms and academics.

Performed a comprehensive risk assessment and update of internal and external risk management policies, implemented improved risk reporting, and reviewed internal and external investment managers for a large corporate pension fund in the US.

Evaluated the VaR implementation and reporting to the Board of Directors for one of the largest non-US. plan sponsors.

Developed derivative guidelines for the overall fund and its investment managers of a large US corporate pension fund. This included the design of a fund-level risk reporting and aggregation reporting system to drastically improve the ability to manage the trust assets.

Reviewed the manager guidelines and the risk management capabilities of four of the outside managers for one of the largest Manager of Managers.

Analyzed the impact of several proposed covenants for a CBO fund and to review the robustness of their approach for a hedge fund.

Analyzed the circumstances surrounding Orange County’s unexpected collateral calls for an assessment of the impact on the overall portfolio and investment strategy.