Consider the following information regarding the


Consider the following information regarding the performance of a money manager in a recent month. The table represents the actual return of each sector of the manager’s portfolio in column 1, the fraction of the portfolio allocated to each sector in column 2, the benchmark or neutral sector allocations in column 3, and the returns of sector indices in column 4. Actual Return Actual Weight Benchmark Weight Index Return Equity 2.4% 0.6 0.7 2.9% (S&P 500) Bonds 1.4 0.3 0.2 1.6 (Salomon Index) Cash 0.5 0.1 0.1 0.5 a. What was the manager’s return in the month? What was her overperformance or underperformance?(Round your answer to 2 decimal places. Input all amounts as positive values. Do not round intermediate calculations. Omit the "%" sign in your response.) The manager’s return in the month is % % b. What was the contribution of security selection to relative performance? (Round your answer to 2 decimal places. Do not round intermediate calculations. Negative amount should be indicated by a minus sign. Omit the "%" sign in your response.) Contribution of security selection: % c. What was the contribution of asset allocation to relative performance? (Do not round intermediate calculations. Round your answer to 2 decimal places. Negative amount should be indicated by a minus sign. Omit the "%" sign in your response.) Contribution of asset allocation: %

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Financial Management: Consider the following information regarding the
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