A performance benchmark that is used in comparing the results of an investment, portfolio, fund, etc. More specifically, it is the target that is set by an investor or money manger for achieving some specific goals. For example, an investor may set a target for purchasing or selling a security. Also, an investor’s bogey may be a 12% rate of return from a particular stock, or it may be to lock in an 8% yield on a bond. A money manager bogey may focus on outperforming a certain equity index such as the Standard & Poor’s 500.

Establishing a bogey to evaluate the performance of an investor or investment manager is usually preceded by setting and understanding the investment objective(s), which per se constitutes the first step in the investment management process.