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Basic Question 3 of 11

Suppose the return on a managed portfolio was 10% last year. For the same period, the benchmark portfolio return was 12%, while the market portfolio return was 11%. What's the value added of the managed portfolio?

A. 0%
B. -1%
C. -2%

User Contributed Comments 1

User Comment
thebkr777 Hope this is on the test
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I was very pleased with your notes and question bank. I especially like the mock exams because it helped to pull everything together.
Martin Rockenfeldt

Martin Rockenfeldt

Learning Outcome Statements

describe how value added by active management is measured;

CFA® 2025 Level II Curriculum, Volume 6, Module 38.