Tracking error
Risk & psychologyHow much a portfolio’s returns deviate from its benchmark.
In plain terms
A concentrated portfolio will deviate a lot in both directions. That is the point, and the cost.
1492 terms
Glossary
Every term is defined twice: once the way a filing would put it, and once the way somebody would explain it to you across a table. The second one is usually the one that sticks.
Showing 1 term
Read the full lesson →