Tracking error penalizes period-by-period fluctuations in return differences. This will be true even if the average portfolio return over the entire ...
Tracking error tells the difference between the performance of a stock or
Sometimes it's impractical or infeasible to hold every company in an index. Some indexes (especially bond indexes) have thousands of securities in them—some ...
Our bond index strategy has a track record of generating minimal tracking error and consistent net-of-fee index performance. The average ...
Kunal Mehta and Fatima Ait Moulay, fixed income investment product specialists, examine how the tracking errors of fixed income index funds ...
Consider fixed-income E.T.F.'s. Last year, the Pimco Germany Bond Index fund had a tracking error of minus 1 basis point, or a hundredth of a ...
We construct indices of corporate bonds that match both the KRD sensitivities and the quality levels (thus spread durations) of DB liabilities, and ...
Tracking error is the ultimate measure of judging an index fund manager's performance. Since bond indexes can include huge numbers of illiquid ...
Bond ETFs do not replicate the indices they track but instead sample
This rule of index construction, called a minimum maturity rule, excludes bonds from indices when the bonds reach a certain minimum maturity.