Have you ever had trouble finding the appropriate benchmark for a product?

2013-08-29 04:19:25
Stephen Berei
Share this: more 
Are you ever unsure what benchmark to use for a specific product?  Several times we get the question as to which benchmark would be appropriate or the "correct" benchmark to run versus a manager.  Well, we have a few solutions for you within StyleADVISOR:
  1. Manually add the Market Benchmark and look at specific benchmark relative statistics such as R-Squared, Tracking Error, etc.
  2. Run Returns-Based Style Analysis to build a blended benchmark

More information about this topic:



At the heart of a quality manager analysis is a good benchmark. According to AIMR, in order for a benchmark to be a valid and effective tool for measuring a manager’s performance, it must be unambiguous, investable, measurable, appropriate, reflective of current investment opinions and specified in advance. A benchmark with all of these characteristics is the “style benchmark,” which is explained in this article.

Informa Investment Solutions is part of the Business Intelligence Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC’s registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.