Benchmark

A benchmark is an indicator that serves as a reference. In the financial field, a benchmark is a reference index used as a basis for comparison: it allows the performance of a financial asset (and therefore the quality of the management carried out) to be evaluated by comparing it with that of the indicator (the benchmark).

It can be a market index (such as the CAC 40 or the Nasdaq 100, for example) or a combination of several market indices (for example 50% MSCI World + 50% JP MORGAN GBI Global Traded Index Hedged) depending on the nature of the management implemented.