Analyze_This

SkipE99 Wrote:
-------------------------------------------------------
> From the Mock, it seems like you can have 4
> different funds and as long as just ONE of them
> has an allocation to a fund with 0 tracking risk
> (Even if it is a 1% allocation), it counts as a
> core-satellite approach.
>
> Ex) Portfolio totals 100% allocated between 4
> funds, is this considered core satellite?
>
> Fund 1- 50% Tracking risk= 3%
> Fund 2- 30%Tracking risk= 6%
> Fund 3- 19%Tracking risk= 9%
> Fund 4- 1% Tracking risk= 0%
>
>
> This is considered a core-satellite portfolio
> right? Pretty weak question if you ask me.


b b b b ut that the very def of the core satellite strat

one portfolio with zero tracking risk acts as the core
and the others are satellitles actively managed