Swiss wealth manager UBS has selected BlackRock’s risk management and portfolio construction tool Aladdin Risk for Wealth Management (ARWM) for its financial advisers and home office professionals.
UBS said that BlackRock’s solution will enable its financial advisers to assess portfolios with the sophisticated risk and return analytics.
The technology provider has adapted components of its Aladdin platform, which will be configured according to UBS’s requirements.
Aladdin can analyze portfolios comprising stocks, bonds, mutual funds, ETFs, options and structured products using a factor-based approach, it added.
Under the partnership, UBS and BlackRock are working alongside to customize dashboards and tools that are optimized to understand the risks across portfolios within UBS private client business.
Initially, the solution will be launched to advisers managing discretionary portfolios and in the later phase will be expand to Financial Advisers and client portfolios.
UBS head of WMA client advisory group Brian Hull said: “UBS clients benefit most when our advisers combine their own experience and intimate understanding of client needs with our new technology and the advice of our home-office investment professionals. Aladdin will enable our home-office to better understand the risks in client’s portfolios, and to enhance their guidance to advisers by deploying this sophisticated, multi-asset analytics engine.”
UBS Wealth Management Americas head of investment platforms and solutions (IPS) Jason Chandler said: “Aladdin will be a huge enhancement to our Advisory business. Our advisers will continue to provide differentiated, client-centric solutions, but now they will also be supported by the same sophisticated risk analytics used by world-leading institutional investors.”
BlackRock chief operating officer Robert Goldstein said: “Aladdin Risk for Wealth Management provides the opportunity to democratize the investment playing field by putting some of the world’s most advanced technology, normally the domain of large institutional investors, into the hands of leading-edge home offices and financial advisers. We are both proud and honored to have been selected by UBS for this journey.”