In: Accounting
Performance attribution. What does it give information of and how can one conduct it?
Performance attribution, in particular, is a piece of technology used by performance analysts to explain why performance gains are somewhat different than benchmarks.
The explanation seems to be a sophisticated method for examining portfolio or fund performance. This approach takes into account a few factors: the business manager's profitability style, his particular stock and his market time. The fund's performance is seen as it attempts to provide quantitative explanations of the manager's investment choices and philosophy of style.
A person's performance is generally used in a policy-analysis-analysis approach and is also noted in many other areas. Choosing a performance is important, because performance can produce different incomes. Thus, understanding how performance is an important part of performance behavior. And analyzed, the commonly used performance attribution models are different. In such results they are generated.Performance attribution can help you communicate with sources. Make your performance more effective Consumers and prospects understand.