A random risk analysis of three products shows how creating two parallel but different 1-7 risk scales has added to the confusion in the market, while the vagueness of the definitions around the risk calculations for expected returns has resulted in every bank doing this differently

The calculation of the new Summary Risk Indicator (SRI) and Performance Ratios in the Priips Kid has brought disparity to the market and uncertainty for end investors. As the market approaches the first anniversary of the Priips Kid coming into effect, SRP looks at three random products analysed by Levendi Capital using its Investment Product Research (IPR) market/issuer risk methodology, and spoke to managing partner, David Stuff ( pictured ), about the existing shortcomings and how to fix the

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