Help organizations identify, assess, and manage strategic risks to protect value and achieve long-term success.

Our Strategic Risk Management service provides pension funds and institutional investors with the tools and insights needed to identify and mitigate strategic risks and uncertainties across the traditional three lines of risk defense. We work with risks teams to augment traditional risk assessments, which blend proven and novel research-backed methodologies to identify potential threats and vulnerabilities across portfolio and thematic risk factors. From this, we can create risk appetite frameworks and mitigation strategies, which paint a fuller picture of existential risks and opportunities. Our approach includes scenario analysis, strategic risk diagnostics, and continuous monitoring to ensure that risk has its rightful seat at the strategy table.

Evaluate the financial implications of strategic risks, informing risk management and decision-making.

Our Strategic Risk Valuation Implications service helps pension funds and institutional investors understand the specific valuation implications of their holdings. We believe that a strong risk sensing and scanning function within the organization is essential to identifying emerging risks. When framed correctly, these risks, viewed often as critical uncertainties, can reveal both existential threats and hidden investment opportunities. We conduct detailed risk impact analyses and scenario modeling on a subset of assets, an asset class, or a full private portfolio to quantify the potential financial consequences on valuations given custom scenarios.

Re-risking their portfolios to align with strategy, optimize performance, and manage risk effectively.

Our Portfolio Re-Risking Exercise service supports pension funds and institutional investors in optimizing their investment portfolios to align with corporate strategy and risk tolerance. We conduct in-depth portfolio analyses against a novel set of risk lenses, evaluating risk category definitions and identifying opportunities for rebalancing or reclassification. We do this by taking a common-sense approach to the underlying drivers that will materially impact asset turns, and stress test those assumptions against where they are currently held. It is a diagnostic look at an existing portfolio’s ‘true risk’ exposures, based on external uncertainties and asset performance relative to plan. Used to inform capital rotation (sell, syndicate, hold) decisions, and identify future value creation levers for existing assets, and the internal capabilities required to execute. Think of this as a healthy challenge to the challenge function that risk traditionally plays. Our approach includes scenario analysis, business case diligence, stress testing, and performance monitoring to ensure that portfolios are resilient and aligned with long-term objectives, enhancing overall performance and risk management.