Morningstar

Portfolio Builder
TM
Licensed to institutions for use
by advisers.
Integrates with other systems
and applications, eliminating
redundant data entry.
Produces high quality client
reports.
Promotes consistency in
advisery approach across
an institution.
Provides a compliant process
and audit trail.
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Portfolio Generation Made Easy Through a
Guided Interface
Creating a proposal for a recommended portfolio requires
assessing the appropriate asset allocation, selecting
best-t investments, and ultimately, presenting this in-
formation in a compelling way to clients.
Morningstar

Portfolio Builder
TM
guides professionals
through a step-by-step process to: capture relevant client
data, determine risk tolerance, identify an appropriate
asset allocation, construct a suitable portfolio, and create
a compelling proposal.
Asset Allocation
Portfolio Builders workow begins with a risk-tolerance
questionnaire. The resulting risk prole and risk score
are meant to be shared with a client as the basis for
discussion. The risk prole aligns with a predetermined
asset allocation model and can be matched to a series
of pre-dened investment portfolios that can be shown
to the client as a current, target or proposed allocation.
The exibility of the application allows the adviser
to choose from a series of rm-dened investment port-
folios, or he can choose to create his own and save
it for future reference. The application also provides
investment ltering capabilities including the ability to
search by fund family, fund category, Morningstar
Rating
TM
, and performance criteria.
Portfolio Construction
Armed with Morningstar data, research and reports,
investment professionals can assess the impact
of modifying securities and allocations to more precisely
meet their clients needs. Rebalance, add, or delete
holdings and instantly see how these proposed changes
affect the overall portfolio composition. Sharing this
information with clients is easy using the Portfolio X-Ray

Report option which provides a detailed summary of
a portfolios asset allocation, style diversication, and
sector exposure.
The Interface Features
a Workow-
Based Approach
Create Client Proposal Identify Asset Allocation
Construct Portfolio Create Client Report
Morningstar

Portfolio Builder
TM
2008 Morningstar, Inc. All rights reserved. Morningstar and the Morningstar logo are either trademarks or service marks of Morningstar, Inc.
Proposal Delivery
Consistent proposals with simple, client-centered graph-
ics are the key delivery mechanisms of Portfolio
Builder. Backed with Morningstars world-class reports,
advisers can choose what they present to their clients,
and rest assured they are providing the appropriate
disclosures.

Asset Allocation
TM
Report: Shows the target asset
allocation, given the investors risk questionnaire results.
Portfolio Comparison
TM
Report: Displays a side-by-side
comparison of asset mix, sector analysis, regional
vexposure, historical statistics, and portfolio statistics on
current and proposed portfolios.

Portfolio Snapshot
TM
Report: Provides an in-depth synop-
sis of a portfolio, with asset-class and investment
style breakdowns, performance information, and top
holdings in a 2-page format.
Portfolio X-Ray

Report: Includes detailed relative

sector exposure, investment style breakdowns, top hold-
ings for the overall portfolio, and regional exposure in
a 1-page summary format.
Stock Intersection
TM
Report: Identies cumulative exposure
to individual equities, based on the underlying holdings of
the managed products in the portfolio.
Investment Detail
TM
Report: Highlights key performance,
investment style, portfolio, and operations information
in a single-page, compliant format.
Firm-Level Flexibility
While the benets of Portfolio Builder to the investment
professional are many, so too is the exibility for the
licensing rm. Portfolio Builder is designed to align and
integrate with a rms existing systems and proce-
dures to create a seamless user experience. The stepped-
base workow allows rms to congure not only the
steps, but also the data and tools contained and collect-
ed in each step.
Choose to collect limited client data (such as rst and
last name), or include additional descriptive elds
such as address, age and income.
Choose Morningstars risk questionnaire and associated
risk proles, or integrate your own.
Modify the asset allocation models for each risk prole,
or use Morningstars standard models.
Determine which investments should be available to
advisers for use in proposals.
Create and deliver model investment portfolios. Firms
can provide Morningstar with their model portfolios
or they can work with one of Morningstars consulting
groups to construct custom versions.
Decide which of Morningstars many reports will be
available to end-users.
Brand the proposal document with logos, promotional
materials and your own, unique design.
For more information about Portfolio Builder, or
for a video demonstration or live tutorial, please
contact your Morningstar Account Manager.
Sample Portfolio
X-Ray

Report