Analytics Methodology

Analytics Methodology

300+ analytics functions
500,000+ securities
53 years of history

Analytics Engine

300+ Analytics Functions

Returns & Performance Returns & Performance

Price returns, cumulative performance, and period-based analytics across any time horizon.

returns

Daily percentage change between consecutive prices. Simple arithmetic returns.

log_returns

Logarithmic returns: ln(P_t / P_{t-1}). Additive across time, suitable for continuous compounding.

monthly_returns

Month-end to month-end total returns. Groups prices by calendar month.

annual_returns

Calendar-year returns. Year-over-year performance comparison across securities.

cumulative_performance

Cumulative total return rebased to 100. Standard performance index for comparing securities.

rolling_cagr

Rolling Compound Annual Growth Rate over a configurable window.

best_period

Best return over a specified period (day, week, month, quarter, year).

worst_period

Worst return over a specified period. Measures maximum adverse move.

win_rate

Percentage of positive return periods. Measures consistency of gains.

rate_of_change

Price rate of change over N periods. Momentum oscillator for trend analysis.

Volatility Volatility

Historical, rolling, and model-based volatility estimation including GARCH family models.

rolling_volatility

Rolling standard deviation of returns. Configurable window (default 265 trading days). Annualized.

monthly_volatility

Month-over-month annualized volatility from month-end return windows.

annual_volatility

Calendar-year annualized volatility. Standard deviation within each year, annualized.

rolling_variance

Rolling variance of returns. Input for portfolio optimization and covariance matrices.

garch_volatility

GARCH(1,1) conditional volatility. Captures volatility clustering in financial time series.

egarch_volatility

EGARCH volatility. Captures asymmetric effects — negative shocks increase volatility more than positive ones.

garch_forecast

Forward-looking GARCH volatility forecast. Predicts conditional variance over N future periods.

rolling_garch

Rolling GARCH estimation over a moving window. Tracks how volatility dynamics evolve over time.

Risk Metrics Risk Metrics

Value at Risk, downside risk, tracking error, and tail-risk measures for comprehensive risk assessment.

rolling_var

Rolling Value at Risk. Estimates maximum expected loss at a given confidence level (e.g. 95%, 99%).

rolling_cvar

Rolling CVaR (Expected Shortfall). Average loss beyond the VaR threshold — measures tail risk severity.

downside_deviation

Standard deviation of negative returns only. Penalizes downside volatility, ignores upside.

upside_deviation

Standard deviation of positive returns only. Measures upside volatility separately.

semi_deviation

Semi-deviation: volatility of returns below the mean. Core input for Sortino ratio calculation.

semi_variance

Semi-variance: variance of returns below the mean. Asymmetric risk measure.

tracking_error

Tracking error vs benchmark. Standard deviation of the return difference between portfolio and index.

tracking_error_volatility

Annualized tracking error volatility. Measures how closely a portfolio follows its benchmark over time.

Drawdown Analysis Drawdown Analysis

Peak-to-trough decline metrics — maximum drawdown, duration, recovery, and pain indices.

drawdown

Continuous drawdown series from running maximum. Peak-to-trough decline at every observation point.

max_drawdown

Maximum drawdown: largest peak-to-trough decline over the entire period. Key risk metric.

average_drawdown

Average of all drawdown episodes. Measures typical loss severity during market downturns.

drawdown_duration

Duration of drawdown episodes in trading days. Time from peak to recovery for each drawdown.

pain_index

Pain Index: average absolute drawdown over the entire period. Severity-weighted risk measure.

ulcer_index

Ulcer Index: RMS of drawdown series. Penalizes both depth and duration of drawdowns more than Pain Index.

Risk-Adjusted Ratios Risk-Adjusted Ratios

Sharpe, Sortino, Calmar, Treynor, and more — return per unit of risk across multiple frameworks.

rolling_sharpe

Rolling Sharpe ratio. Excess return over risk-free rate, divided by volatility.

rolling_sortino

Rolling Sortino ratio. Like Sharpe but uses downside deviation — rewards only downside risk reduction.

rolling_calmar

Rolling Calmar ratio. Annualized return divided by maximum drawdown.

rolling_treynor

Rolling Treynor ratio. Excess return divided by beta — measures return per unit of systematic risk.

rolling_information_ratio

Rolling Information ratio. Active return divided by tracking error vs benchmark.

omega_ratio

Omega ratio. Probability-weighted gains over losses at a given threshold. No normality assumption.

burke_ratio

Burke ratio. Return per unit of drawdown risk using sum of squared drawdowns.

sterling_ratio

Sterling ratio. Excess return divided by average drawdown.

tail_ratio

Tail ratio. Right tail (gains) vs left tail (losses) at the 95th percentile.

gain_loss_ratio

Gain-to-loss ratio. Average positive return divided by average negative return.

profit_factor

Profit factor. Gross profit divided by gross loss. Values above 1 indicate net profitability.

capture_ratio

Up/down capture ratio. Measures upside and downside participation relative to a benchmark.

upside_capture

Upside capture ratio. How much of the benchmark's gains the portfolio captures.

downside_capture

Downside capture ratio. How much of the benchmark's losses the portfolio captures.

Correlation & Regression Correlation & Regression

Pairwise relationships, beta decomposition, and rolling regression for portfolio construction.

rolling_correlation

Rolling Pearson correlation. Full N×N matrix across all security pairs.

rolling_covariance

Rolling covariance matrix. Unnormalized relationship strength for portfolio optimization.

rolling_alpha

Rolling Jensen's alpha. Risk-adjusted excess return vs benchmark after adjusting for beta.

rolling_beta

Rolling beta vs benchmark. Measures systematic risk — sensitivity to market movements.

rolling_downside_beta

Rolling downside beta. Beta computed only during negative benchmark returns.

rolling_upside_beta

Rolling upside beta. Beta computed only during positive benchmark returns.

rolling_beta_timing

Rolling beta timing. Measures shift in beta between bull and bear markets.

rolling_r_squared

Rolling R². How much of the portfolio's variance is explained by the benchmark.

rolling_regression

Rolling OLS regression. Full alpha, beta, R², and residuals over a moving window.

rolling_residuals

Rolling regression residuals. Unexplained return component after factor adjustment.

rolling_autocorrelation

Rolling autocorrelation. Measures serial dependence in returns — detects momentum or mean reversion.

rolling_factor_regression

Rolling multi-factor regression. Time-varying factor exposures across Fama-French or custom factors.

Factor Analysis Factor Analysis

Fama-French factor models, attribution, and style analysis for systematic risk decomposition.

factor_attribution

Factor attribution. Decomposes returns into factor contributions: market, size, value, momentum.

factor_regression

Fama-French factor regression (FF3/FF5). Full regression with alpha, betas, R², and t-statistics.

Statistical & Momentum Statistical & Momentum

Distribution shape, trend indicators, and market microstructure analytics.

rolling_skewness

Rolling skewness. Measures asymmetry: negative skew = larger left-tail risk.

rolling_kurtosis

Rolling excess kurtosis. Measures tail risk: higher kurtosis = more extreme events.

momentum

Momentum indicator. Absolute price change over N periods — trend strength signal.

relative_strength

Relative strength. Performance of one security vs another over a rolling window.

hurst_exponent

Hurst exponent. H>0.5 = trending, H<0.5 = mean-reverting, H=0.5 = random walk.

Methodology

Portfolio Optimization & Construction

portfolio.optimize

Portfolio optimization. Solver modes: Mean-Variance (Markowitz), Minimum Volatility, Maximum Sharpe, Risk Parity (Equal Risk Contribution), Black-Litterman, Maximum Diversification, and Hierarchical Risk Parity (HRP). Supports constraints on weights, sectors, and asset classes.

portfolio.stress

Stress testing. Apply historical or hypothetical scenarios: 2008 Financial Crisis, COVID-19 crash, rate shock, custom factor moves. Measures portfolio impact under extreme conditions.

portfolio.attribution

Performance attribution vs benchmark. Brinson-Fachler decomposition: allocation effect, selection effect, and interaction effect.

portfolio.contribution

Return contribution by asset. Decomposes total portfolio return into individual holding contributions: weight × return.

portfolio.rebalance

Rebalancing analysis. Calculates drift from target weights, recommended trades, estimated transaction costs, and tax impact.

portfolio.tearsheet

Full analytics tearsheet. Comprehensive one-call report: returns, volatility, Sharpe, Sortino, max drawdown, rolling metrics, factor exposures, and sector allocation.

portfolio.exposure

Exposure breakdown. Decompose portfolio exposure by geography, sector, asset class, currency, and market cap.

portfolio.drift

Weight drift evolution. Tracks how portfolio weights deviate from targets over time due to differential returns.

portfolio.costs

Portfolio cost analysis. Aggregates TER, transaction costs, custody fees, and management fees across all holdings.

portfolio.compare

Compare multiple portfolios. Side-by-side comparison of returns, risk, Sharpe, drawdown, and factor exposures.

Methodology

Asset Allocation & Efficient Frontier

asset_allocation.frontier

Efficient frontier. Computes the Markowitz efficient frontier: optimal portfolios offering maximum return for each risk level.

asset_allocation.optimize

Model allocation optimization. Finds optimal weights across asset classes given a target risk level or return objective.

asset_allocation.stress

Asset allocation stress test. Tests how a model allocation performs under historical and hypothetical crisis scenarios.

asset_allocation.backtest

Model backtesting with rebalancing. Simulates a model over historical data with periodic rebalancing.

asset_allocation.compare

Compare multiple allocation models. Side-by-side analysis of risk, return, Sharpe, and factor exposures.

asset_allocation.drift

Allocation drift vs model. Measures current portfolio drift from the strategic asset allocation model.

asset_allocation.risk_profile

MiFID SRI risk profile template. Model portfolio for each MiFID II Summary Risk Indicator level (1-7).

Methodology

Options Pricing & Greeks

options.price

Black-Scholes option pricing. Theoretical fair value for European calls and puts. Inputs: spot, strike, expiry, risk-free rate, volatility, dividends.

options.greeks

Option Greeks. Delta (price sensitivity), Gamma (delta curvature), Theta (time decay), Vega (volatility sensitivity), Rho (rate sensitivity).

options.iv

Implied volatility. Reverse-engineers market's expected volatility from observed option prices using Newton-Raphson iteration.

options.strategy

Option strategy analysis. Multi-leg strategies: spreads, straddles, strangles, butterflies, condors, collars. Returns max profit/loss, breakevens, risk profile.

options.payoff

Payoff diagram. P&L profile of an option or strategy across underlying prices at expiry. Breakeven points, max gain/loss zones.

Methodology

Fixed Income & Bond Analytics

bonds.analyze

Single bond analysis. YTM, YTC, modified duration, Macaulay duration, convexity, DV01, accrued interest, clean/dirty prices.

bonds.curve

Yield curve analysis. Nelson-Siegel and Svensson parametric models. Extracts level, slope, curvature factors. Identifies inversions.

bonds.spread

Credit spread analysis. Spread between bond yield and risk-free rate. Tracks widening/tightening as credit risk indicator.

bonds.ladder

Bond ladder construction. Diversified portfolio with staggered maturities for income stability and reinvestment flexibility.

bonds.portfolio

Bond portfolio analytics. Aggregate duration, convexity, weighted average yield, credit quality distribution, and sector allocation.

bonds.maturity_profile

Maturity distribution by bucket. Groups bonds into maturity buckets (0-1y, 1-3y, 3-5y, 5-10y, 10-20y, 20y+).

Methodology

Equity Analysis & Technical Indicators

stocks.technicals

Technical indicators. MACD, RSI, Bollinger Bands, Stochastic, ATR, OBV, Williams %R, CCI, ADX, Parabolic SAR, Ichimoku Cloud, and more.

stocks.signals

Buy/sell signal generation. Crossover signals, overbought/oversold, divergence detection, trend confirmation. Ensemble scoring.

stocks.valuation

Valuation metrics. P/E, P/B, EV/EBITDA, P/Sales, PEG ratio, and DCF-based intrinsic value estimates. Sector comparison.

stocks.momentum

Momentum and trend analysis. Multi-timeframe scoring combining price action, volume trends, relative strength, and moving averages.

stocks.dividends

Dividend data. Yield, payout ratio, growth rate, ex-dividend dates, payment history. Identifies dividend aristocrats.

stocks.peers

Peer comparison. Compare stock against sector peers on valuation, profitability, growth, and momentum.

Methodology

Factor Models & Risk Decomposition

factors.risk_model

Factor risk decomposition. Decomposes total risk into systematic (factor-driven) and idiosyncratic (security-specific) components.

factors.scenario

Factor scenario analysis. Simulates portfolio impact from hypothetical factor movements. Maps factor shocks to portfolio P&L.

factors.portfolio_exposure

Portfolio factor exposure. Maps exposure to Market, Size (SMB), Value (HML), Profitability (RMW), Investment (CMA), and Momentum.

factors.rolling_covariance

Rolling factor covariance. Time-varying covariance matrix of factor returns. Captures regime changes in factor relationships.

Methodology

ESG Analytics & Sustainable Investing

esg.portfolio

Portfolio ESG metrics. Weighted-average ESG score, E/S/G pillar breakdown, carbon intensity, SFDR classification, EU Taxonomy alignment.

esg.screen

ESG screening. Filter by minimum ESG score, exclusion lists (weapons, tobacco, fossil fuels), positive screening (green bonds, renewables).

esg.compare

ESG comparison. Side-by-side E, S, G pillar scores, carbon footprint, and sustainability ratings across portfolios.

esg.get

Get ESG data for securities. E, S, G scores, overall rating, carbon emissions, controversy score, SFDR, EU Taxonomy eligibility.

Methodology

Alternative Investments & Private Assets

alternatives.performance

IRR, TVPI, DPI calculation. Internal Rate of Return, Total Value to Paid-In, Distributions to Paid-In. Industry-standard private asset metrics.

alternatives.cash_flow

Capital call and distribution tracking. Records capital calls, distributions, and tracks committed vs drawn capital over the fund lifecycle.

alternatives.nav_update

NAV updates. Periodic Net Asset Value updates for illiquid assets. Supports quarterly reporting cycles of private funds.

alternatives.summary

Portfolio-level alternative assets summary. Aggregates IRR, TVPI, DPI across all alternative holdings. Vintage year diversification and J-curve position.

Methodology

Risk Profiling & Suitability

profiling.questionnaire

Risk tolerance questionnaire. Multi-language MiFID II questionnaire covering investment objectives, time horizon, risk capacity, and experience.

profiling.check_suitability

Suitability check. Validates whether a proposed investment is suitable for the investor's risk profile. SRI 1-7 matching, concentration limits.

profiling.convert_answers

Answer-to-profile conversion. Converts questionnaire responses into risk score (1-100), SRI level (1-7), and asset allocation recommendation.

Platform

Beyond Analytics

12 endpoints

Securities Data

Search, lookup, price history, breakdowns, fees, MiFID II data, and screening across 500,000+ instruments.

20 endpoints

Portfolio Management

Create portfolios, calculate returns, performance attribution, stress testing, optimization, and tearsheets.

10 endpoints

Asset Allocation

Efficient frontier computation, model backtesting with rebalancing, drift analysis, and MiFID risk profiles.

9 endpoints

Fixed Income

Bond analytics, yield curves, credit spreads, ladder construction, maturity profiles, and portfolio-level metrics.

7 endpoints

Options & Derivatives

Black-Scholes pricing, Greeks (delta, gamma, vega, theta, rho), implied volatility, payoff diagrams, and strategy analysis.

9 endpoints

Stocks & Technicals

Technical indicators (MACD, RSI, Bollinger), buy/sell signals, momentum analysis, peer comparison, and valuation metrics.

5 endpoints

ESG & Sustainability

ESG scoring, portfolio-level sustainability metrics, screening by criteria, and ESG comparison across portfolios.

9 endpoints

Factor Models

Fama-French FF3/FF5 factor data, portfolio factor exposure, risk decomposition, scenario analysis, and rolling covariance.

7 endpoints

Fundamentals

Financial statements, fundamental ratios, earnings history, data quality reports, and available metrics catalog.

6 endpoints

Macro Economics

Economic indicators (GDP, CPI, unemployment), economic calendar, country data, and macro time series history.

12 endpoints

News & Market Intelligence

News search, trending topics, publication feeds, article details, and cross-source comparison.

5 endpoints

Realtime Data

Live quotes, intraday chart data, market calendar events, and data source health monitoring.

Validation

How We Validate

Dual-Engine Validation

Numerical Precision

Edge Case Handling

EU-Hosted Infrastructure

API Access

Use These Analytics

REST API

Direct HTTP calls returning JSON or CSV. Full OpenAPI documentation with interactive Swagger UI.

Python SDK

Native Python library returning DataFrames. Install with pip and call analytics as functions.

MCP Server

Model Context Protocol server for AI agents. Give Claude, GPT, or any LLM direct access to financial analytics.

MarketOcean

Visual dashboard with AI assistant. Explore all analytics through an interactive interface without writing code.

Integrate transparent, validated analytics into your workflow

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