What is Performance Watcher?
Performance Watcher is a community initiative launched in 2005 by Investment by Objectives (IBO) SA. It is comprised of investors seeking to evaluate their portfolio’s performance and then compare it with other portfolios that have the same risk budget. This anonymous platform offers attractive and user-friendly solutions to foster confidence in the banking sector.
What is the Risk level of my portfolio?
Here is a table mapping each risk level to its corresponding composition:
| Risk level | Explanation |
|---|---|
| Risk-free rate | Corresponds to letting your money sleep in a bank. |
| Very Low Risk | Corresponds to investing 100% in Bonds. |
| Low Risk | Corresponds to investing more or less 75% in Bonds and 25% in Equities. |
| Low-to-Mid Risk | Corresponds to investing more or less 62.5% in Bonds and 37.5% in Equities. |
| Mid Risk | Corresponds to investing more or less 50% in Bonds and 50% in Equities. |
| Mid-to-High Risk | Corresponds to investing more or less 37.5% in Bonds and 62.5% in Equities. |
| High risk | Corresponds to investing more or less 25% in Bonds and 75% in Equities. |
| Very High Risk | Corresponds to investing more or less 12.5% in Bonds and 87.5% in Equities. |
| Equities Risk | Corresponds to investing 100% in Equities. |
It is important to set the risk of the portfolio accurately. This allows you to compare your portfolio to the most appropriate Performance Watcher Index!
How do I know my Bank is PW-ready?
Every data provider is listed in this page:
https://www.performance-watcher.com/en/solution/index/software
In the Depository banks and other connected systems section.
If it is not listed, it is not PW-ready yet.
Try to give feedback to your relationship manager on your desire to have your portfolio data connected to Performance Watcher! The more pressure the bank has regarding transparency, the more likely they will work on integrating the data with us.
How is the risk calculated?
For the risk measure, Performance Watcher uses the annualized standard deviation on smoothed returns (the smoothing is done via a weekly moving average).
What is the concept of Performance Watcher?
Performance Watcher is a Swiss fintech platform that anonymously aggregates daily, net-of-fees portfolio data from wealth managers, private banks, and family offices to provide objective, peer-based performance and risk comparisons. It helps professionals, measure, monitor, and communicate investment results with transparency, consistency, and credibility
What is the Perfometer?
The Perfometer is a simple tool developed by Performance Watcher. It allows you to understand at a glance, with the help of a meteorological pictogram, the performance of a portfolio compared to other investors. Is the Perfometer stormy ? This means that the portfolio is worse than the average person with the same investment. However, if the Perfometer indicates a sunny weather, it means that all is well !
How long should I wait to see my Perfometer?
From the time the Performance Watcher receives it’s first piece of data from your bank, it requires 30 days to display your own Perfometer.
My bank is not connected to Performance Watcher. Can I still use it?
During your next interaction with your banker, ask him or her about Performance Watcher and express your interest in joining. We appreciate your support!
The total value of my investment portfolio is very low, is there a minimum requirement to register to Performance Watcher?
There is no minimum value required to register for Performance Watcher. You just need to hold an investment portfolio at a bank. Everyone is welcome to join this community!
The PW indices, what are they and how are they done?
PW indices represent compiled results collected from various entities managing the actual investment portfolios. They are independently produced and are an excellent way for comparing with your own portfolio.
What data is sent from my account to Performance Watcher?
Performance Watcher receives the absolute minimum amount of data which is necessary in order to accurately calculate risk and performance. This is limited to your total account value and the sum of any inflows and/or outflows for the relevant observation periods.
How secure is the data transmitted?
Financial data and infrastructure are secured by using highly sophisticated cryptographic security systems that meet the latest security requirements. In addition, all data is kept strictly anonymous and, in no way, does it enable a user’s portfolio to be traced to its owner. All stored data is purely statistical in nature.
How does Performance Watcher guarantee its independence?
Performance Watcher does not actually manage any money on behalf of third parties. Its sole role is to promote its proprietary digital platforms. The remuneration system contractually excludes Performance Watcher from any potential conflict of interest. Independence and impartiality are the building blocks on which Performance Watcher solutions and services are built.
How is the performance calculated?
Performance Watcher calculates the daily performances based on the valuations received as well as any cash inflows or outflows totals, and then chains these daily performances over the observation period. This method is called “True Time Weighted Return”.