Assignment X6

Discussion in 'SA7' started by Sean Cahill, Mar 11, 2019.

  1. Sean Cahill

    Sean Cahill Member

    Did anyone else notice the mistake on Q3 2017 benchmark return in question 6.1?
     
  2. Colin McKee

    Colin McKee ActEd Tutor Staff Member

    You had me worried there. I think you are referring to the fact that the fund jumps from 221.7m to 293.4m when the benchmark performance is 8%. this looks at first glance like a performance of well in excess of 8%. But the key is that the question states that there is an external cashflow in that quarter. So its (221.7m + 50m)(1.08) which comes out OK.
    It took me a while but I knew that it could not have survived for a few exam seasons without someone spotting that.
    Cheers
     

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