Benchmarking
This section of our website is intended for professional intermediaries and should not be relied upon by retail investors. Please note that our portfolios are generally not directly available to retail clients without the recommendation of a financial adviser.
The idea of a benchmark is to show how investments have performed against the wider market with a similar level of risk. There are several ways to do this with each method having advantages and disadvantages.
At Progeny we have a range of investment solutions and we want to demonstrate how each solution has performed against a relevant benchmark.
After performing due diligence across the various benchmark options available to us, we have decided to use a composite benchmark.
What is a composite benchmark?
A composite benchmark is one that groups together many different indexes in order to create a representation of an overall market performance, appropriate to a certain degree of risk. It should represent the underlying portfolio investors are invested in.
We are using a composite benchmark as it closely shows the returns an investor would have received if they had invested across the market within their risk category. We can be confident that when we are comparing performance, the benchmarks we are using are totally relevant to the portfolios we are analysing.
Which indices are we using in our benchmarks?
The composite benchmarks are constructed using MSCI indices for the equity element and ICE Bank of America indices for the Fixed Interest element. These are industry standard indices and are both market-leading within equity and fixed interest markets. The benchmarks have been constructed to closely represent the equity content and fixed interest content of each risk mandate.
Please note
None of the MSCI information is intended to constitute investment advice or a recommendation to make (or refrain from making) any kind of investment decision and may not be relied on as such. Historical data and analysis should not be taken as an indication or guarantee of any future performance analysis, forecast or prediction. The MSCI information is provided on an “as is” basis and the user of this information assumes the entire risk of any use made of this information. MSCI, each of its affiliates and each other person involved in or related to compiling, computing or creating any MSCI information (collectively, the “MSCI Parties”) expressly disclaims all warranties (including, without limitation, any warranties of originality, accuracy, completeness, timeliness, non-infringement, merchantability and fitness for a particular purpose) with respect to this information. Without limiting any of the foregoing, in no event shall any MSCI Party have any liability for any direct, indirect, special, incidental, punitive, consequential (including, without limitation, lost profits) or any other damages.
Composite Benchmark Disclaimer Source: MSCI. The MSCI information may only be used for your internal use, may not be reproduced or re-disseminated in any form and may not be used as a basis for or a component of any financial instruments or products or indices. None of the MSCI information is intended to constitute investment advice or a recommendation to make (or refrain from making) any kind of investment decision and may not be relied on as such. Historical data and analysis should not be taken as an indication or guarantee of any future performance analysis, forecast or prediction. The MSCI information is provided on an “as is” basis and the user of this information assumes the entire risk of any use made of this information. MSCI, each of its affiliates and each other person involved in or related to compiling, computing or creating any MSCI information (collectively, the “MSCI Parties”) expressly disclaims all warranties (including, without limitation, any warranties of originality, accuracy, completeness, timeliness, non-infringement, merchantability and fitness for a particular purpose) with respect to this information. Without limiting any of the foregoing, in no event shall any MSCI Party have any liability for any direct, indirect, special, incidental, punitive, consequential (including, without limitation, lost profits) or any other damage
Source ICE Data Indices, LLC is used with permission. ICE® is a registered trademark of ICE Data Indices, LLC or its affiliates and BofA® is a registered trademark of Bank of America Corporation licensed by Bank of America Corporation and its affiliates and may not be used without BofA’s prior written approval. The index data referenced herein is the property of ICE Data Indices, LLC, its affiliates (“ICE Data”) and/or its third-party suppliers and along with the ICE BofA trademarks, has been licensed for use by Progeny. ICE Data and its third-party Suppliers accept no liability in connection with the use of such index data or marks.
Please note
This communication is not investment advice. The value of investments and income from them is not guaranteed, can fall, and you may get back less than you invested. Your capital is therefore always at risk. Past performance is not a guide to future performance. If you invest in currencies other than your own, fluctuations in currency value will mean that the value of your investment will move independently of the underlying asset.