This video shows you how to use HiddenLevers to stress test a portfolio, household, or account interactively. 

Once you have your holdings entered into HiddenLevers, you’re ready to begin Stress Testing. You can choose a scenario from the “Scenarios” button or move an economic lever yourself. This is a good opportunity to address the worries and what-if questions your prospect may have. It is also an opportunity to show the tools you have at your disposal.

What am I looking at?

The column on the very right will have the stress test results of up to four portfolios. The results will be in both percentage loss as well as dollar loss for a portfolio. Clicking the (+) for any portfolio to see the underlying positions. This allows you to see how each investment reacts to a stress test.

The middle column of “Economic Levers” are the different economic indicators being tested. For example, we can ask: how would my portfolio react if the S&P went to 1800 and CPI was at 1.5% and unemployment was at 7%? Using the levers lets you test different questions. Our built in scenarios address the most common questions that you or your prospect might have

The left-side control panel tells you more about the scenario you are looking at. You can switch between different outcomes, or learn more about a scenario here as well under the “Full Description” button. Scenario progress measures if a scenario is occurring based on the movement of a “key lever.” For example, if a scenario assumes oil moving from $50 to $100 and today the price of oil is $75, then the scenario is 50% priced in. As scenarios become priced in, their effects on a portfolio are minimized.

From here, it is easy to create a Stress Test Report. Those instructions can be found here.