What is Brinson?
Similarly, what is an attribution analysis?
Attribution analysis is a sophisticated method for evaluating the performance of a portfolio or fund manager. It attempts to provide a quantitative analysis of the aspects of a fund manager's investment selections and philosophy that lead to that fund's performance.
Similarly, how do you calculate performance contribution? Subtract the weight of each sector in the portfolio from the weight of the same sector in the benchmark. Multiply the difference obtained with the difference in returns between the portfolio return of the sector and the benchmark return of the sector.
In respect to this, what is a performance attribution report?
Performance attribution, profit attribution, or investment performance attribution is a set of techniques that performance analysts use to explain why a portfolio's performance differed from the benchmark. This difference between the portfolio return and the benchmark return is known as the active return.
What is factor attribution?
Factor-based performance attribution is commonly used to explain the sources of realized return of a portfolio. The methodology relies on a factor model of asset returns to decompose a portfolio's return according to a set of factors.