RISK SYSTEMS THAT READ®
SHORT HORIZON RISK FORECASTING

The Northfield Adaptive Near Horizon Risk Models are a suite of models that incorporate our Risk Systems That Read method. This process uses current information to condition risk estimates over short horizons. Each model retains the intuitive, proven factor structure of its long horizon counterpart but is adapted to fit instantaneously observed market information that may deviate quite dramatically from historical norms. The Models blend information from news flows, implied volatility, cross-sectional dispersion, and historical pervasive relationships to produce a truly revolutionary risk forecasting model.