Dynamic v. Static

What's a dynamic v. a static peer group? This is a question that stumps a lot of people. Here's an example...

A dynamic peer group will update its "members" each quarter. So, say you built a group of credit unions over $1 billion in assets back in February when 4Q data was the latest cycle. At that point, Peer built you a group of 146 credit unions and calculated their average performance to show on the charts and tables.

If you saved it as a "Dynamic" peer group, when you loaded 1Q09 data, Peer took at look at the new data and said "hm..there are now 153 credit unions." At that time, it recalculated the average performance of those 153 credit unions so your graphs/tables displayed the current $1b+ credit unions' performance.

If you had saved it as a "Static" peer group, Peer stored the super-secret-never-changing-ID-number for those 146 credit unions. When you loaded 1Q data, it took the new data for those 146, whether or not they fit the original criteria of being larger than $1billion, and recalculated the peer group performance.

Ok, now that that's clear... (ha ha) More on Dynamic v. Static and Simple v. Custom on Monday. Have a good weekend.