MetaConsider the following information regarding the performance of a money manager in a recent month. The table
Question:
MetaConsider the following information regarding the performance of a money manager in a recent month. The table represents the actual return of each sector of the managers portfolio in column the fraction of the portfolio allocated to each sector in column the benchmark or neutral sector allocations in column and the returns of sector indices in column
Actual Return Actual Weight Benchmark Weight Index Return
Equity
Bonds
Cash
Required:
a What was the managers return in the month?
Note: Do not round intermediate calculations. Input amount as positive value. Round your answer to decimal places.
a What was her overperformance or underperformance?
Note: Do not round intermediate calculations. Input amount as positive value. Round your answer to decimal places.
b What was the contribution of security selection to relative performance?
Note: Do not round intermediate calculations. Round your answer to decimal places. Negative amount should be indicated by a minus sign.
c What was the contribution of asset allocation to relative performance?
Note: Do not round intermediate calculations. Round your answer to decimal places. Negative amount should be indicated by a minus sign