What Tracking Error measures? Active or Residual

[Maged]

Which is expressed by tracking error ? Active risk or residual risk or nonsystematic risk?
What are the measures for others ?

I have this conflict because in GARP book page 82 while defining IR, it's mentioned that TE is a measure for nonsystematic risk.

While it's mentioned in many locations that TE is a measure for active risk

Please have a look to this ahead of responding
https://forum.bionicturtle.com/threads/alpha.3888/#post-10234

 

[ShaktiRathore]

hi
by convention, "excess return" = active return=portfolio return-benchmark return and "tracking error" generally refers to active risk; i.e., std deviation (active returns).How much the portfolio tracks a benchmark is measured by tracking error,lower the tracking error the more closely the portfolio tracks a benchmark while higher the tracking error the less closely the portfolio tracks a benchmark
also please see:
https://forum.bionicturtle.com/thre...ive-and-residual-return-risk.7216/#post-25675
https://forum.bionicturtle.com/threads/information-ratio.8401/#post-34197
https://forum.bionicturtle.com/threads/tracking-error.8126/#post-33702
thnks