Process for verifiably communicating risk characteristics of an investment portfolio

A method for communicating characteristics of an investment portfolio to an investor for verification that the investment portfolio meets at least one predetermined assertion of asset quantities without disclosing the exact composition of the portfolio, the method comprising the steps of:

• generating a plurality of commitments, each commitment being derived from a quantity of an asset in the investment portfolio;
• communicating the plurality of commitments to the investor;
• and
• communicating at least one key to the plurality of commitments to at least one third party to allow verification of the at least one predetermined assertion.

An aparatus for verifying the characteristics of an investment portfolio comprising:

• means for receiving a plurality of commitments, each commitment being derived from a quantity of an asset in the investment portfolio;
• means for receiving at least one proof, each of the at least one proof corresponding to a corresponding assertion relating to assets in the investmetn portfolio;
• and
• means for verifying the correctness of the at least one proof to verify the characteristics of the investmetn portfolio with respect to assertions.

An aparatus for verifying information concerning characteristics of an investment portfolio comprising:

• means for receiving a plurality of commitments, each commitment being derived from a quantity of an asset in the investment portfolio;
• means for obtaining at least one decryption key to the plurality of commitments;
• and
• means for using the at least one decryption key to decrypt the plurality of commitments to determine the quantity of assets in the investment portfolio.