Thursday, July 14, 2011

Consider an investor who wants to compare market timing, or asset allocation skills, of two fund managers. Bot?

true or false?Consider an investor who wants to compare market timing, or asset allocation skills, of two fund managers. Both fund managers invest in the same set of asset classes but in different weights (proportion of investments). To test their market timing skills using attribution analysis, it is correct to use one fund manager as a benchmark for the other.

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