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Wall Street’s Rogue Way for Measuring Performance Apes the 16th Century Medical Field

When measuring the investment performance of a portfolio, the biggest mistakes people make are 1) not tracking performance at all, or 2) comparing a portfolio’s performance to flawed yardsticks. The first point should be self-explanatory, so let’s focus on the second point.

If a certain portfolio holds an asset mix of 25% U.S.

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