Return attribution , allocation formula

[Sagar_tikyani]

At some places the return attributed to allocation is
(Portfolio weight- benchmark weight)* (benchmark return)

And at some places instead of benchmark return they take the difference of return of sector and the total benchmark fund return.

Also what formula has been used in example 7 page 201?

[S2000magician]

@Sagar_tikyani

At some places the return attributed to allocation is
(Portfolio weight- benchmark weight)* (benchmark return)

And at some places instead of benchmark return they take the difference of return of sector and the total benchmark fund return.

The former is the Brinson model; the latter is the Brinson-Fachler model.

@Sagar_tikyani

Also what formula has been used in example 7 page 201?

Neither. They’re doing a macro analysis.

[Sagar_tikyani]

How have they arrived at the numbers in the example then?

[S2000magician]

My mistake: I didn’t go all the way to the bottom.

I’d have to try each formula to know which approach they took, but it would be better if you did. You’ll learn more by trying to do it yourself than by me doing it and simply reporting my findings.