The trend of representing financial data in an easy-to-understand, visual way and the long-awaited post crisis recovery, which is believed to boost up individual investors’ minds, inspired the idea of virtual private banking.
Affluent investors (upper-mass segment), who have the intention to manage and follow up their investments by their own, would require an online tool which is capable to show them the composition and the history of their assets.
Beyond analysis, built-in advisory feature would be welcomed as well. At least three levels of aggregation should be supported:
- Whole portfolio,
- Instruments grouped by their type,
- Single investments.
Several chart types can ease the representation of data: price history and returns can be displayed by simple line charts; composition can be displayed by pie charts and area charts.
The bubble chart is one of the important tool to place portfolio elements in the return-risk matrix, where the x axis would refer to the risk, the y axis would refer to the return and the size of the bubbles would refer to the market value of portfolio elements. The entities displayed on a bubble chart can be compared in terms of their size as well as their relative positions with respect to each numeric axis.
Since both X and Y axis of the bubble chart are numeric scales, the position of plot is an indicator of two distinct numeric values.
So if you scale the radius with your third data point, you will disproportionally emphasize the third factor. To get a properly weighted scale, one should take the square root of the magnitude of this third metric.
Finance - GROUP 1