TY - JOUR T1 - Understanding Tracking Error and Its Relationship with VaR JF - The Journal of Investing SP - 54 LP - 60 DO - 10.3905/joi.2001.319473 VL - 10 IS - 3 AU - Brian Fischer Y1 - 2001/08/31 UR - https://pm-research.com/content/10/3/54.abstract N2 - Whether they are aware of it or not, benchmarked investors have adopted the concepts imbedded in VaR when they calculate tracking error. Unfortunately, tracking error calculations are prone to misinterpretation and miscalculation. This article highlights some of the problems associated with the use of VaR concepts by benchmarked investors and offers some potential solutions. ER -