Skip to content

Return Due to Style and Active Management (formula)

March 24, 2018

P = M + S + A

M = Market Index

A = P – B the active investment decisions

B = Selected Benchmark

S = B – M the style return

When B – M = 0 so S = 0 and there is no style 

P = M + A

Advertisements
One Comment

Trackbacks & Pingbacks

  1. CFA® Level 3 Exam Post-mortem – Muskblog

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.

%d bloggers like this: