Abstract
Many advisers use collective investment funds for their clients’ investment needs. In
many cases, these are managed relative to some stated benchmark index, although
others may have “cash-plus” or absolute return targets. Equally client portfolios may be measured against indices (or composite indices) adjudged to represent their
investment needs and risk profile.
This article explores some requirements for the selection of suitable benchmark
indices and outlines how advisers can be on the alert for some fund management
practice where published benchmarks can be misleading to investors.
many cases, these are managed relative to some stated benchmark index, although
others may have “cash-plus” or absolute return targets. Equally client portfolios may be measured against indices (or composite indices) adjudged to represent their
investment needs and risk profile.
This article explores some requirements for the selection of suitable benchmark
indices and outlines how advisers can be on the alert for some fund management
practice where published benchmarks can be misleading to investors.
| Original language | English |
|---|---|
| Number of pages | 4 |
| Specialist publication | DISCUS (Discretionary Investment Services Coming Under Scrutiny) platform article |
| Publication status | Published - 21 Jun 2018 |
| Externally published | Yes |
Bibliographical note
Q69ASJC Scopus subject areas
- Economics, Econometrics and Finance(all)