Sentences with phrase «negative tracking error»

RCE will give rise to a positive tracking error (fund underperforms the index) when stocks and currency moves in opposite directions and negative tracking error (fund outperforms the index) when stocks and currency moves in the same direction.

Depending upon cost and efficiency of fund management, fund may generate positive or negative tracking error.

In fact, EEM has a significant tracking error as you can see in the table below (negative tracking error means ETF returns were higher than the index):

And more importantly, I couldn't answer with conviction whether large tracking errors are simply a statistical anamoly or whether negative tracking errors are likely to persist in the future.

Not exact matches

VWO on the other hand closely tracks the index but the tracking error is negative.

TD e-Series Funds remain a great choice for low - cost, diversified portfolios, especially when modest amounts are invested on a regular basis but the funds that track foreign stock markets can have large annual tracking errors (both positive and negative).

When currency effects are negative (as it was the case of the CAD / USD and US markets over 2006 to 2011), currency - hedging still did not show a profit due to tracking error.

The tracking error could be positive or negative by dropping the smaller names.

For those of you who don't know, tracking error is the difference in returns (both positive and negative) between an investment vehicle and the index it tracks.