Pike + Zijlmans Providing Portfolio Risk Services

Pike + Zijlmans Providing Portfolio Risk Services

Leiden, 9 May 2018 – Pike + Zijlmans recently assisted a global exchange traded fund (ETF) with measuring their portfolio risk. This risk measure, called SRRI (Synthetic Risk and Reward Indicator), is required by law in a regulatory document called a Key Investor Information Document (KIID). Pike + Zijlmans measured SRRI on behalf of the fund and provided insight into other risks that the fund might carry.

SRRI is a harmonized measure that ranks an investment fund’s volatility on a scale of 1 to 7. Commission Regulation (EU) No 583/2010 of the European Commission implements Directive 2009/65/EC of the European Parliament and Council concerning key investor information and conditions to be met. This regulation refers to the Committee of European Securities Regulators, who prescribes formulas for measuring SRRI. Certain investment funds that are available for sale to retail investors in the European Union are required to calculate SRRI and make a KIID available.

For more information on KIID requirements, please contact Andrew Pike at Pike + Zijlmans (apike@pikezijlmans.com).