You are evaluating the performance of two fund managers to help a client understand their strengths and weaknesses in security selection and asset allocation. The data relevant to the performance of these two fund managers and those of a benchmark portfolio are given in the following table: Manager/Benchmark Total return Manager A Manager B Return attributable to security selection 6% 4% Benchmark portfolio 5% -0.2% Assume that the data for managers A and B reflect average performance over Return attributable to asset allocation -2% 5% 8% -1% 5.2%
You are evaluating the performance of two fund managers to help a client understand their strengths and weaknesses in security selection and asset allocation. The data relevant to the performance of these two fund managers and those of a benchmark portfolio are given in the following table: Manager/Benchmark Total return Manager A Manager B Return attributable to security selection 6% 4% Benchmark portfolio 5% -0.2% Assume that the data for managers A and B reflect average performance over Return attributable to asset allocation -2% 5% 8% -1% 5.2%
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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