Question: 2. The table below documents the asset allocation and returns for the bogey portfolio and a managed fund. Calculate the excess returns generated by the
2. The table below documents the asset allocation and returns for the bogey portfolio and a managed fund. Calculate the excess returns generated by the managed fund. Calculate the attribution of portfolio returns between asset allocation and security selection.(6 marks)
Bogey Weights | Market Return | Portfolio Weights | Portfolio Returns | |
Equity | 65% | 6.42% | 75% | 7.12% |
Fixed Income | 25% | 3.32% | 20% | 3.24% |
Cash | 10% | 2.12% | 5% | 2.12% |
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