tag:blogger.com,1999:blog-2568941354104807757.post8911280464770775668..comments2023-10-05T09:07:24.225-04:00Comments on Investment Performance Guy: Dealing with denialDave Spauldinghttp://www.blogger.com/profile/01777929408680234896noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-2568941354104807757.post-19264826803780493032014-04-05T20:03:25.052-04:002014-04-05T20:03:25.052-04:00FROM STEVE CAMPISI:
When people use the phrase &q...FROM STEVE CAMPISI:<br /><br />When people use the phrase "art rather than science" I get the feeling that this simply masks a general lack of understanding of the subject in question, or more pointedly the failure to clarify the question to be answered. The Art of Money Weighting? I don't think so. How about "What is the return the client earned on the portfolio?" No "art" needed for that - just understanding the purpose for your performance return. This differs from "What is the return of the mutual fund in isolation (as opposed to being an investment within an overall portfolio?)" Again, not much "art" needed here either.<br /> <br />Now, if you want to talk about how to communicate effectively with the variety of clients out there, given their differing goals, risk tolerances, levels of knowledge and experience with the investment process, cultures, etc. then I wholeheartedly agree: communicating highly technical results clearly, concisely and convincingly is ALL about art. But let's not use this "art not science" cliche to mask either laziness or recalcitrance. Dave Spauldinghttps://www.blogger.com/profile/01777929408680234896noreply@blogger.comtag:blogger.com,1999:blog-2568941354104807757.post-86691011441047312602014-04-04T11:16:04.626-04:002014-04-04T11:16:04.626-04:00Miles, thanks for your comment; you're correct...Miles, thanks for your comment; you're correct that there is not always one solution. However, there are occasions when some refuse to give way to alternative approaches, and hold steadfast to methods which can be shown to be flawed or lacking, that's my gripe!Dave Spauldinghttps://www.blogger.com/profile/01777929408680234896noreply@blogger.comtag:blogger.com,1999:blog-2568941354104807757.post-5164039304363982962014-04-04T10:58:45.973-04:002014-04-04T10:58:45.973-04:00I think the tricky thing about this is, performanc...I think the tricky thing about this is, performance reporting much like the rest of finance has as much "art" in it as science. From my limited experience there usually isn't just one correct solution to a particular problem.Mileshttps://www.blogger.com/profile/02234709492906618670noreply@blogger.com