Otto is OnPointe’s NEW AI assistant, and it will blow your mind!
Otto’s first use is in our OnPointe Risk Analyzer software and is unlike anything offered by Riskalyze/Nitrogen, Hidden Levers, or any other risk program. Otto sits on the screen advisors already use (it sits in the bottom right corner of the screen). When you click the button, Otto springs into action.
Watch Otto in Action
I just cut a new overview video showing how Otto works. To be intentionally redundant, this will blow your mind. To watch the overview video, click on the following:
https://onpointesoftware.com/portfolio-optimizer
10-Day Free Trial
Want to see Otto in action? The best way to do so is to trial the tool so you can see for yourself how cool it is. To sign up, click on the following link:
https://onpointesoftware.com/free-trial
What can Otto do? It can do a lot.
1) Otto can take a portfolio’s existing holdings and indicate what it doesn’t like about them and make suggestions for a more “optimized” mix of holdings. Suggested holdings can be any publicly available stocks, ETFs, and/or mutual funds.
2) Otto can create new portfolios from scratch (although if this is your main interest, you would be better off using our Tactical Mind AI tool (https://tacticalmind.ai)).
3) Otto can create a new/unique portfolio for a client made up of SMAs (separately managed accounts) (these SMAs could be in-house strategies and/or ones from a TAMP or 3rd party signal provider).
4) Otto can provide side-by-side comparison with all the technical data of an existing portfolio and a new optimized portfolio.
5) Otto can optimize portfolios by Risk Score, CAGR, drawdown, Sharpe, and Calmar Ratio, and Otto can explain what is driving the difference between each designed portfolio.
6) Otto can incorporate the use of FIAs (Fixed Indexed Annuities) to improve portfolios.
7) Otto can create a client letter explaining, in detail, why the client’s current portfolio isn’t very good and why the new portfolio mix is better. The client letter capabilities are very helpful.
Audio capabilities—if you don’t like to type, you can simply talk to Otto through your computer.
Preset Rules and Mandates
The delayed launch is due to the new functionality we built to allow for preset rules/mandates.
This is important for an RIA that uses multiple strategies from different managers (like a TAMP would have) and strategies that are considered high risk.
Say your RIA uses some in-house strategies, but you also use 2-3 different third-party managers. Also, let’s say that some of the strategies are risky (like a tactical bitcoin strategy).
What kind of constraints might you set up in Otto?
1) A particular manager’s strategies are limited to 40% of the portfolio.
2) If a super-aggressive strategy is chosen, it can’t be used for more than 10% of any portfolio.
Here is an example from our Anti-TAMP platform with the following constraints:
-Use 5 custom assets (SMAs) with no manager having more than two strategies in the portfolio
–Don’t use any one strategy for more than 35% of the portfolio
-If the bitcoin strategy is used, it must be limited to 10% of the portfolio
-I asked for a Risk Score between 30-50
-And I wanted it optimized for Calmar Ratio
Otto tested about 880,000 combinations, and it took 45 seconds to recommend…
Here are the metrics from September 2020 through September 2026 (72 months)
What do you think? Nothing wrong with a 20% return with a max drawdown of only 6.39% over the last 72 months. BTW, you can use this portfolio RIGHT NOW, plus many other combinations on our “anti-TAMP” platform. If you haven’t checked it out, take a look: https://advisorstamp.com.
Reviewing a lead’s current portfolio—I don’t want to undersell the usefulness of using Otto to review a lead’s current portfolio. You just ask Otto what it thinks of a portfolio, and it will tell you with specificity. Then you can have it create a letter explaining to the lead why their current portfolio isn’t very good. It’s truly an amazing tool that advisors will use on a regular basis.
Ready to Start Using the Industry’s Most Powerful Portfolio Optimizer?
If you are an existing OnPointe user, it can be added with the click of a button. If you are not using OnPointe, why not? No other software in the industry has this kind of tool and it’s certainly NOT Riskalyze/Nitrogen, Hidden Levers, or any other program in the risk space.
RoccyKnows YouTube Channel
Beware of Bonus Annuities to Pay the Tax on Roth Conversions
Every week I’m posting a NEW YouTube video. Last week’s was why using bonus annuities to “pay the tax” on IRA conversions is a financial loser. This week’s is on guaranteed income for life annuities.
To watch the NEW consumer YouTube video, click on the following link or video:
https://www.youtube.com/@RoccyKnows/videos
