4. Compute the annual tracking error from the following information: Portfolio A's Portfolio B's Month Jan return (%) 2.15 return (%) 1.65 0.89 1.15 Feb -0.10 Mar 0.52 Apr Мay June -0.47 -0.60 1.71 0.10 0.65 0.33 July Aug Sep Oct 1.04 2.31 2.70 1.10 0.66 1.23 2.15 -1.38 2.02 Nov -0.61 -0.59 Also discuss what is meant by a tracking error of a portfolio. Dec -1.20
4. Compute the annual tracking error from the following information: Portfolio A's Portfolio B's Month Jan return (%) 2.15 return (%) 1.65 0.89 1.15 Feb -0.10 Mar 0.52 Apr Мay June -0.47 -0.60 1.71 0.10 0.65 0.33 July Aug Sep Oct 1.04 2.31 2.70 1.10 0.66 1.23 2.15 -1.38 2.02 Nov -0.61 -0.59 Also discuss what is meant by a tracking error of a portfolio. Dec -1.20
MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
Problem 1P
Related questions
Question
![4. Compute the annual tracking error from the following information:
Portfolio A's
Portfolio B's
return (%)
2.15
return (%)
1.65
Month
Jan
Feb
Mar
0.89
-0.10
0.52
1.15
-0.60
Apr
Мay
June
-0.47
1.71
0.65
0.10
0.33
July
Aug
Sep
Oct
1.04
2.31
2.70
1.10
0.66
1.23
2.15
2.02
Nov
-1.38
-0.61
-1.20
-0.59
Also discuss what is meant by a tracking error of a portfolio.
Dec](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fae73264a-d57c-425f-ad5f-235586a1e0fd%2F19ed0301-783f-42f0-ace1-9a5ee9eac89d%2Fmby8kx8_processed.png&w=3840&q=75)
Transcribed Image Text:4. Compute the annual tracking error from the following information:
Portfolio A's
Portfolio B's
return (%)
2.15
return (%)
1.65
Month
Jan
Feb
Mar
0.89
-0.10
0.52
1.15
-0.60
Apr
Мay
June
-0.47
1.71
0.65
0.10
0.33
July
Aug
Sep
Oct
1.04
2.31
2.70
1.10
0.66
1.23
2.15
2.02
Nov
-1.38
-0.61
-1.20
-0.59
Also discuss what is meant by a tracking error of a portfolio.
Dec
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