|5a Explain the purpose of return attribution and its rolein the investment decision process||
Purpose is used to identify the source of exess returns, that are used to evaluate how investment decisions are used to add or subtract value
|5b Distinguish between return attribution adn return contribution.||
Identifies contibution of a portfolio to the total return of the portfolio. NOT calculated relative to the benchmark.
|5c Distinguish between return attribution and risk attribution||
Risk attribution analyzes the risk consequenses of investment decisions.
|5d Describe the attributes of an effective attribution process.||
reconcile the total portfolio return.
reflect the investment decision process
quantify the active decision of the portfolio manager
provide a complete understanding of the exess return of the portfolio.
|5e Analyze hte sources of performance of a portfolio using the BHB and BF models||
allocation and selection