Risk Management

Integrated risk management.
Add value to risk.

Independent Risk Management constitutes one of the two core functions when it comes to alternative investment fund management.

We offer comprehensive risk management services, either as appointed AIFM or on a stand-alone basis as delegated risk management function. Additionally, we also provide turnkey risk management services to asset managers who manage accounts of investors requiring AIFMD-equivalent risk analytics.


Our proficient risk management team has implemented a state-of-the-art risk management framework covering all aspects of the substantial legal and regulatory requirements imposed by the AIFMD. 

In order to add additional value for our clients, we have developed proprietary quantitative risk models for investments in real assets and debt. Notably, our risk models are designed to be consistent across asset classes and compatible with standard models prevailing in the liquid world (Value-at-Risk). This facilitates both investors and portfolio managers of alternative investments to integrate such risk metrics into their existing asset allocation and risk management framework.

Beyond periodic standard risk reporting, we offer on request additional bespoke risk analytics to asset managers and institutional investors in order to support them in analyzing risk and performance of real asset investments in-depth.

How it works

How it works: LIS Risk-Management

Fund setup phase

  • Review of and contribution to the initial drafting and subsequent amendment, if any, of statutory fund documents in relation to risk management aspects
  • Drafting and implementation of individual risk management procedures for the fund in consideration of the investment strategy, the risk profile and the statutory fund documents covering all material risks

Day-to-day risk management

  • Identification, measurement, assessment and management of all material risks of a fund in accordance with its defined individual risk management procedures
  • Monitoring of compliance with investment restrictions and risk limits of the fund
  • Periodic reporting to the governing body of the fund outlining the current level of risks incurred by the fund, the utilisation of limits and the fund’s performance 
  • Addressing of operational risks by means of adequate procedures appropriate to the nature, scale and complexity of the fund’s operational setup
  • Initial due diligence and on-going monitoring of the performance of service providers of delegated functions (Delegation Monitoring)

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