Automating Chart Production Reduces Time Required to Produce Quarterly Portfolio Reports - Page 2

Automating Chart Production Reduces Time Required to Produce Quarterly Portfolio Reports - Page 2

Templeton performance analysts reviewed a number of graphics packages, including Origin from OriginLab (formerly Microcal Software)Ô Software, Incorporated. They discovered that this technical graphics and data analysis software offered the best solution. It was discovered that Origin provided two important advantages. First, the software has a wide range of graphing flexibility that allows the user to make adjustments to any parameter of a graph. Second, the use of LabTalk®, a powerful programming language, provides access to nearly every function of the program. The use of Origin made it possible for Templeton performance analysts to adjust label size, and thus provide attractive and readable over/under charts for their reports.

Figure 2. Industry Over/Under Chart. The above chart displays a hypothetical portfolio for demonstration purposes and does not represent a real Templeton portfolio. The chart on the left shows the portfolio's weight in each sector of the economy and, beneath each sector, the industries comprising the sector. The chart on the right shows the portfolio's weight minus the benchmark weighting (relative weighting) in each sector and industry. A client examining the charts above could quickly determine that Finance had the largest weighting of all of the sectors at 26.4% by looking at the left hand chart. The right hand chart shows that the largest difference in sector weightings versus the index is Consumer Goods. The portfolio has 7.9% less of its assets in Consumer Goods than does the index.

By automating chart production with LabTalk, Templeton expects a reduction in its documentation workload as well as improvement in the quality of their communication with their clients. Templeton performance analysts have plans to implement a similar approach in automating other charts they use.