Performance Evaluation - Macro Attribution - Index Approach

CFA Level III Portfolio Management
#1

For NRABIA (Net ECFs, Risk Free Rate, Asset Categories, etc.), which ones represent a pure index approach?

I’m reading in lots of places that it’s up to and including Asset Categories (NRA), but the Schweser video slides for this says Benchmarks is a “pure indexing approach”.

Just did a Schweser q (in Qbank) that asked “Had the manager only engaged in a pure index approach, instead of 12%, the return of the fund would have been:”

The answer used Asset Categories.

#2

Asset Categories should be the pure indexing approach.

Benchmark reflects TAA decisions by the sponsor for defining the manager style (small cap, mid cap, etc).

Could someone please confirm if i am on the right track?

#3

You are.

#4

Thanks, Magician!

#5

My pleasure.

#6

Thanks all!