Research and Risk Department

Research Department

Is Asset Management’s Research Department consists of highly educated and experienced staff. Department closely keeps a watch of developments in the Turkish and global economies and prepares detailed reports, providing the portfolio manager with an up-to-date, accurate and reliable dataflow. Investment decisions are taken by applying top-down and bottom-up analysis.

While “Top-Down” policy strategy remain the principal considerations in deciding asset allocation and sector emphasis, those portfolio policies are, in turn, influenced by feedbacks received “the “Bottom-Up” approach.

Is Asset Management creates its strategies by approaching market developments with a systematic perspective in order to ensure that client’s assets demonstrate stable and sustained growth. Its expertise and ability to carry out predictions in respect to economic and market analysis, which play a significant role in the decision-making process in managing portfolios.

Turkey’s emerging market characteristic distinguishes its economy compared to developed countries. In order to take advantage of Turkey’s financial markets with its local expertise Is Asset Management’s Research Team s in house models that predicts the future indicators which are used by portfolio managers for performance enhancement.

Risk Department

Is Asset Management effectively employs its robust risk management infrastructure and system, that are at international standards, in its investment process.

Risk management is a process of identifying risk factors which may adversely impact the managed portfolios, and to accurately measure them, as well as to minimize any risks which may appear. Risk factors which may affect the performance of a portfolio management include country risk, exchange rate risk, interest rate risk, liquidity risk, credit risk and the risk of a deviation the benchmark.

The Risk Committee determines risk management strategies and policies and monitors their implementation by the Risk Management Unit. This Unit regularly reports the results of risk management practices to the Risk Committee.

Risks undertaken in the management of the client portfolio are instantly monitored by means of international risk assessment techniques. The primary risk parameter that is used to control the risk taken in portfolio is the value at risk (VaR) coefficient. The risk assessment of the portfolios is monitored daily in terms of the “VaR” and the “Relative VaR”, and risk levels are reported daily. In addition to this information, data obtained through generally accepted risk assessment methods is presented to the Risk Committee on a weekly basis.