Oxford Risk takes its financial risk profiling service online.
Oxford financial services spin-out Oxford Risk has launched an online risk profiling service.
Allowing access to professional risk assessments for both financial advisers and individual investors, the new service builds on the company’s current service, which is used by 40,000 advisors worldwide.
Terry Thomson, chief executive of Oxford Risk, explained: “In Guidance published in 2011 the FSA (now FCA) noted that some firms had been using unsubstantiated methods to establish the risk preferences of their clients. This has resulted in widely publicised cases that have not only damaged the firms at fault, but also the investment industry as a whole. The Oxford Risk Rating uses scales derived from the statistical analysis of data gathered from thousands of respondents, selected to match the targeted investor population. The reliability and accuracy of the methodology employed gives advisers a powerful tool to help them meet the 2011 regulatory guidance. Optionally, the Oxford Risk Rating can also reveal key aspects of the investor’s capacity for loss, by considering their time horizons, the required certainty of investment goals, and their attitudes to short-term falls in the value of their investments.”
