We review the concept of ex-ante tracking error measurement in portfolio management, providing correct definition with respect to time projection of underlying factors. We emphasize the difference between the process of time projection and portfolio aggregation of returns as well as the...

The paper presents and analyzes a new mutual fund management model that allocates fund's resources with respect to different time preferences of investors. Proposed model enables explicit definition of investment horizons in regular opened-end fund framework that utilizes popular portfolio...