What is the correct formula for allocation effect calculation?
Sir had mentioned an alternate formula in the class which differs from the core.
The screenshot of the formula given in the core is attached.
Please advise.
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One formula which was there in CFA Level 2, is of the BF model. The one mentioned in class by Sir is of the BHB model. Practically, more correct one is the BHB model. In the exam, you can expect the institute to mention which formula to use.