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Portfolio measurement answers three questions: 1) What is the return on the assets? 2) Why the portfolio has returned in the way it has. 3)

Portfolio measurement answers three questions:

1) What is the return on the assets?

2) Why the portfolio has returned in the way it has.

3) How can the performance be improved?

Explain, in detail, how you would approach measuring portfolio performance. Extend your discussion beyond a simple list, by providing detailed measures you would use in the process and why.

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