Delta Data, a fintech company providing infrastructure technology for the pooled investment community today, announces the release of a new institutional profit and expense forecasting tool: IntelliCaster. The tool tracks multiple economic models that enable asset manager distributors to forecast profits and expenses based on a variety of critical influencing factors, including sales forecasts and dynamically calculated fee data. The tool is being officially launched at the annual NICSA Strategic Leadership Forum and is already in use by a major investment management firm.
“We developed IntelliCaster to provide financial models that will aid in more realistic forecasting. No one has a crystal ball, however, with the major economic variables covered, any asset manager will be afforded a tighter picture of what profits against expenses should look like,” says Whitfield Athey, CEO, Delta Data.
Delta Data’s IntelliCaster provides asset managers with a platform to input multiple economists generated macro-economic based models. The models are then used as the basis for scenarios that include adjustments from sales by region, dealer or product, and by finance that adjusts by share class, fee waivers, and other proprietary inputs from that specific asset manager. Once the data has been input into the system IntelliCaster yields forward looking composite analysis of projected distribution fees, expenses and profit. Fee agreements input into the system provides a monthly expense calculation that is then applied against the future AUM models.
Analytic dashboards and reports based on the performance by scenario against actual results provide additional insight. Multiple models can be continually analyzed in an automated fashion with the impact of external factors highlighted, to provide a more realistic profit forecasting by month spanning multiple future quarters. The solution delivers multiple profit and expense models per product, channel and platform. The delta between the models indicates a more realistic forecast of performance against predictions.
“IntelliCaster is enabled by insights gained on flows and variable expenses over the past five years. It represents the pooled investment asset community’s growing demand for more sophisticated infrastructure products that can keep up with the dynamic and fast moving globally influenced investment flows,” adds Athey.