The foundation of OpenMetrics services are two core technologies: Stability Signals and Geometric Shape Factors, which open a large array of applications within the financial industry. Both core technologies have been thoroughly tested over many years at ETH Zurich and in practical industry applications.
Stability signals are based upon a groundbreaking methodology developed by OpenMetrics, which is based upon Bayesian Change Point (BCP) analysis.
At its core, we measure the probability of entering a new market regime with changing dynamics. Thus providing a self calibrating logic for measuring financial market stability.
OpenMetrics stability Signals can be directly used to manage exposure across several markets/asset classes.
The main advantage - in contrast to other methods - are the accuracy and speed of adaptation, which serves to protect efficiently against unwanted market downturns.
GEOMETRIC SHAPE FACTORS
Geometric shape factors are an innovative approach for managing portfolios by including the perspective on the whole investment universe (feasible set).
By using the geometric information of the feasible set, the risk/return profile of the portfolio can be significantly improved.