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Technical note
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Reference no. UVA-F-1673
Published by: Darden Business Publishing
Originally published in: 2012
Version: 27 November 2012
Revision date: 31-Jan-2013

Abstract

Identifying an appropriate benchmark is an essential step in assessing a manager's performance. In the prospectus or fund advertising materials, a benchmark for the fund is typically identified, and the performance of the fund relative to that benchmark is given. The issue of concern is whether or not the benchmark provided has a similar risk profile to the fund.

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Abstract

Identifying an appropriate benchmark is an essential step in assessing a manager's performance. In the prospectus or fund advertising materials, a benchmark for the fund is typically identified, and the performance of the fund relative to that benchmark is given. The issue of concern is whether or not the benchmark provided has a similar risk profile to the fund.

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