What Is Portfolio Intelligence and Why Should I Add It To My Process?

Portfolio monitoring is essential for commercial real estate (CRE) investors, developers, operators, venture capital, and investment portfolio companies. It informs decision-making, identifies potential risk factors, and tracks the performance of a portfolio.

With portfolio monitoring, investors can make data-driven decisions to ensure maximum performance by tracking key metrics and performance indicators (KPIs) such as returns, market values, cash flow, and expenses.

A Deloitte report highlights portfolio monitoring and the significance of using data and analytics to make decisions. Leveraging predictive analytics to enhance your investment management practice can help more accurately forecast performance using an extensive collection of traditional and alternative datasets.

Access to up-to-date market trends and regulations data can give CRE professionals the edge to make intelligent investment decisions and stay ahead of market changes

Let’s dive into the key differences between portfolio management, monitoring, and intelligence — a new category designed to make optimizing the health of your portfolio simpler than ever before. 

Portfolio Management vs. Portfolio Monitoring: What’s the Difference? 

Portfolio Management

Portfolio management is the larger umbrella category and involves all activities meant to optimize the health of your CRE portfolio. This may include any of the following functions: loan servicing, analytics, payments tracking, draws for construction, regulatory compliance, etc. 

Portfolio Monitoring

Portfolio monitoring falls under the category of management, but focuses specifically on ongoing maintenance activities. It involves tracking and analyzing an existing portfolio’s performance over time. This allows investors to understand how their portfolios have been performing and adjust when necessary to reach their financial goals.

Geared towards ongoing monitoring of current loans, portfolio monitoring does not necessarily involve actively managing or selecting investments. Instead, it provides investors with insights into their investment decisions by tapping into a series of metrics that can be used to interpret performance and create strategies for improvement.

What Is Portfolio Intelligence and Why Is It Important?

Portfolio Intelligence is a new category of portfolio monitoring that brings the conventional process into the modern age. 
Blooma’s Portfolio Intelligence suite automates critical activities included in traditional monitoring and couples it with dashboards and functionality that allows for deep real-time analysis. 
Blooma levels up the standard portfolio management process for your team with the following intelligence features: 
Portfolio Monitoring Stress Testing Refinance Dashboard Business Intelligence Prescriptive Insights Portfolio / Deal Alerts

Blooma’s portfolio intelligence equips lenders with data-driven insights, automation, and real-time monitoring to enhance their decision-making capabilities and investment outcomes:

Data-Driven Insights That Inform Decision-Making

As a modern CRE investor in a fast-changing economic climate, you need to be constantly aware of any market fluctuations, to know the performance of your investments like the back of your hand. 

What you need are data-driven insights infused into portfolio monitoring.  

Blooma gives you holistic views and quick insights. It lets you identify non-performing loans by sorting your deals by score, LTV, DSCR, market, region, and more.

Streamlining Operations with Automation

In the high-paced world of CRE investment, time is a valuable resource that cannot be wasted on manual tasks.

Blooma puts your portfolio monitoring on autopilot by automating crucial portfolio management aspects such as: 

  • Document processing
  • Valuation modeling
  • Market analytics update
  • Property analysis update
  • Borrower analysis update
  • Financials analysis update
  • Stress testing
  • Personalized deal scoring
  • Automatically refreshed comp set representing the latest market data and trends

Now your team can focus on generating new opportunities and driving long-term growth without getting bogged down by repetitive tasks.

Staying Ahead with Real-Time Alerts

Blooma ensures you never miss a beat. It updates your portfolio information round the clock and in real-time—something that’s not present in other platforms. 

It sends proactive alerts on your portfolio, notifying investors of significant changes or potential risks. This gives you a constant view into portfolio health and enhances your ability to react quickly when needed.

What To Consider When Looking for Portfolio Intelligence Technology

When looking for the right portfolio intelligence system, it’s essential to consider various factors, such as the following:

Current Capabilities

What types of investments and financial instruments can the system track? Does the system provide detailed reporting capabilities with customizable timeframes? Does it allow users to view performance over multiple time intervals? Can the system integrate with existing accounting software?

Limitations of the System

How often is data updated, and how accurate is this data? What are security measures in place to protect confidential user information? Is there a maximum number of portfolios that can be monitored at once? Are there any fees associated with using the system?

Future Capabilities

Are additional features being developed to improve the usability or accuracy of data? Could new integrations be added in future updates that would benefit users?

Organizational Fit

Does it fit into your organization’s technology stack? Will there need to be any changes made for it to integrate seamlessly with existing infrastructure and processes? Are there any conflicts between systems that could create difficulties down the line?

Upfront Management Support

Blooma supports upfront project management with deal sizing, scoring, and other activities during Origination. 

Blooma offers API integration into your current tech stack so you can easily integrate with your current workflow, switch use cases, and monitor deals currently in the system. 

Explore What Blooma’s Portfolio Intelligence Can Do For You

Blooma’s portfolio intelligence is invaluable for lenders seeking detailed insight into their loan portfolios. This comprehensive platform allows lenders to easily monitor and analyze the performance of their loans in real time, identify credit risks, and make informed decisions quickly.

Blooma augments the standard portfolio management with its portfolio monitoring solutions. Thanks to the following features, users have the flexibility to run a variety of risk assessment scenarios:

  • Real-time updates: Blooma’s system keeps deal scores up to date based on real-time data collection so you can continuously monitor your deals without all the extra leg work.
  • Deal stress testing: In Blooma, you can run stress tests on each deal (and at the portfolio level) to identify areas of heightened risk by adjusting revenue, expenses, cap rate, vacancy, and interest rate to analyze the effect they may have on the DSCR, Debt Yield, and LTV of the loan and portfolio.
  • Borrower / Sponsor / Guarantor financial analysis: This includes the automated parsing and spreading of financial documents such as tax returns, personal financial statements, schedules of real estate, and liquidity statements. Blooma automates and streamlines what you would manually do with Excel—it spreads those values into understanding the individual’s cash flow from a pro forma perspective and turns it into a global view of a deal’s cash flow, net worth, or liquidity support.

Give your loan portfolio the edge it needs with Blooma’s portfolio monitoring software! With automated monitoring capabilities, intuitive dashboards, and visual analytics tools at your fingertips, staying informed about your loan performance and taking proactive measures to improve outcomes has never been easier.

Take advantage of this powerful tool today and make smarter decisions more confidently.

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