Daily BriefsQuantitative Analysis

Daily Brief Quantitative Analysis: Mirror and more

In today’s briefing:

  • Mirror, Mirror on the Wall, Which Is the Fairest Benchmark of Them All?

Mirror, Mirror on the Wall, Which Is the Fairest Benchmark of Them All?

By Nicolas Rabener

  • Evaluating manager performance is difficult as it requires an appropriate benchmark
  • The manager’s benchmark selection is often not objective given conflicts of interests
  • Factor exposure analysis can be used to systematically identify the best benchmark

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