Article: Fund Spy: Posner Fights Blandness at Legg Mason Partners.

Byline: Russel Kinnel

May 15--There's an interesting division among active equity managers these days. One group focuses closely on a fund's index and assigns a tracking error to each fund. Tracking error is a way of measuring how closely a fund's returns follow those of an index. Brian Posner belongs to the camp that says, "Let the managers be managers." This group wants to get the latest in risk measurement so that portfolio managers have a good handle on what their bets are, but doesn't want to force the managers to follow a strict edict. The thinking here is that managers should focus on stock selection and not worry about what's in the index.

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