Online evaluation set to gauge funds’ risk profile

An online service has been launched to assess the business and operational risk of funds.

Probity is being offered to offshore life companies to evaluate funds before they are included in portfolio bonds.

Each fund is assessed using 60 criteria. These are then compared against the individual risk profile of life companies.

Probity is not analysing a fund’s investment risk but its operational, regulatory and statutory risks.

Probity also evaluates funds for asset managers to check if they will be acceptable to life insurers.

The company is building a database of the funds it has evaluated. This should reduce delays when an adviser requests a fund to be included in a portfolio bond, says Simon Willoughby of Probity.

Probity, based in the Isle of Man, has been established by Acuity International Corporate Consulting, which also owns Isle of Man-based Acuity Consultants.