Our testing protocol leverages expertise, software and process to asymmetrically calculate and measure the absolute equivalent number of equally weighted diversification resources, also known as Asymmetric Concentration Coefficient Resources (ACCR) present in a portfolio. Each ACCR has the ability to move independently within a portfolio’s structure. More ACCRs equal more diversification and the presence of less Uncompensated Risk (UCR). Your portfolio’s is then compared to a Maximum UCR reduction portfolio of like size with similar allocation between equities and fixed income.
BELOW IS WHAT A PORTFOLIO MIGHT LOOK LIKE AFTER PFA’s UNCOMPENSATED RISK REDUCTION ALGORITHM IS OVERLAID WITH ADVISER’s COMPENSATED RISK ASSET ALLOCATION
NOTE: from ASYMMETRIC to SYMMETRIC or BALANCED APPROXIMATELY 360°