The formula for calculating ACTR includes which of the following?

The calculation of the Asset-Centric Total Return (ACTR) focuses on measuring the return generated by the assets within a portfolio, taking into account their relative weights in the overall asset allocation. By multiplying the asset weight in the portfolio by the Market Capitalization Total Return (MCTR), one can effectively quantify the contribution of each asset to the overall return of the portfolio. This approach aligns with the principles of portfolio theory, which emphasizes the impact of asset allocation on performance.

The other options do not directly pertain to the calculation of ACTR. For instance, considering the liability weight in total assets incorporates aspects of financial leverage and risk assessment but does not directly contribute to the asset returns calculation. Similarly, comparing asset returns to a risk-free rate might reflect relative performance, but it does not encapsulate the formula used to derive ACTR. Lastly, the distinction between fixed and contingent liabilities may relate to risk management and financial health, but it does not impact the calculation of returns from the asset perspective. Overall, the core aspect of ACTR calculation lies in the interaction between asset weights and their corresponding returns, making the first option the correct choice.