Tracking error
Tracking error measures the variability of a fund's returns relative to its benchmark returns over a stated method and period.
Significado en lenguaje sencillo
Tracking error measures the variability of a fund's returns relative to its benchmark returns over a stated method and period.
Por qué es útil
Tracking error is useful as descriptive evidence when it is compared on the same definition, source, period, unit and exact listing. It is one input to research, not a verdict.
Dónde aparece en XMarketRadar
Look for Tracking error in Mutual Funds, ETF scanner, fund details, comparisons and risk/return views when source-backed data is available.
Cómo se calcula o se obtiene
XMarketRadar aligns fund and benchmark NAV/index observations by date, forms compatible daily active returns, calculates their sample standard deviation with divisor N−1, and annualises it with √252. Fewer than 30 aligned observations produce unavailable.
Entradas, período y unidad
Read the disclosed inputs or source, observation period, bar interval, unit, native currency and scale. A value without its source and as-of context is incomplete; unlike units must not be combined.
Ejemplo práctico
Illustrative only: if date-aligned daily active returns have a 0.05% sample standard deviation, XMarketRadar annualises tracking error as 0.05%×√252, about 0.79%.
Qué significan alto y bajo
A higher or lower Tracking error value is descriptive, not automatically good or bad. Meaning depends on the instrument, comparison period, method and related evidence.
Positivo, negativo y cero real
Positive and negative Tracking error values retain the definition shown here. A genuine reported or computed zero is displayed as 0 and is not the same as missing evidence.
Limitaciones y errores comunes
XMarketRadar requires at least 30 date-aligned daily observations, uses sample standard deviation and √252 annualisation. IDCW/dividend-option NAV-only returns and segregated or side-pocket series are suppressed because payouts or recovery jumps make those percentage-return comparisons invalid without complete cash distributions.
Diferencias según el mercado
Fund regulation, tax, NAV timing, fee presentation and share classes vary across all supported markets. Compare like fund type, currency, benchmark and plan/share class.
Siguientes pasos sugeridos
Open the related Funds terms below, then follow the matching Help Centre task guide and inspect Tracking error on an exact exchange listing. Confirm source, as-of time, units and unavailable reason before using it in research.
Solo información educativa; no es asesoramiento ni un servicio de órdenes.
This Tracking error tutorial is educational and descriptive. It is not investment advice, a price prediction, a recommendation, or an instruction to buy, sell, rebalance or place an order.