Have you verified when you look at the sources you setup for portfolio, that the source does include the "initiative" JIRA issue type? Generally I go to the project or board (whatever you are using) and try to create one outside of portfolio. If you cannot create one, then you need to modify your JIRA project/board.
To see this feature in action check out our recent dependencies demo here: https://www.youtube.com/watch?v=eQu5VsUqyZA Keeping on top of your dependencies is a key part of ensuring project success....
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