The Spaulding Group
Call Now: 732-873-5700
Menu
  • GIPS
    • What Our Clients Say
    • GIPS 101
    • What is GIPS Verification?
    • GIPS Support/Pre-Verification
    • GIPS Verification Services
    • Non-GIPS Verification
    • GIPS For Asset Owners
    • Can OCIOs Be GIPS Compliant
  • Services
    • Consulting
      • Technology Consulting
      • Operations Review
    • Training
      • Fundamentals of Investment Performance Measurement
      • Performance Measurement Attribution
      • GIPS Workshop
      • In-House/Custom Training
      • Portfolio Risk Class
      • Performance Measurement for the Non-Performance Professional
      • PERFORMANCE MEASUREMENT FOR ASSET OWNERS AND CONSULTANTS
    • Software Certification
    • Vendor Support
      • Marketing Support
      • System Consulting
    • Publishing
    • Research
  • Products
    • The Journal
      • Media Kit
      • Article Submissions
      • Past Articles of The Journal of Performance Measurement
      • Dietz Award Winners
  • Conferences and Forums
    • Conferences
      • Virtual PMAR Web-Conference
      • PMAR North America
      • PMAR Europe
      • PMAR West
      • Performance Jeopardy Champions
      • Web Conferences
    • Performance Measurement Forum
    • Asset Owner Roundtable
  • Investment Performance Guy Blog
    • CIPM Tips & Tricks
    • Resource Center
  • About Us
    • TSG In The News
    • The Company
    • Awards and Recognition
    • Our Story
    • Careers
  • Contact
  • GIPS
    • What Our Clients Say
    • GIPS 101
    • What is GIPS Verification?
    • GIPS Support/Pre-Verification
    • GIPS Verification Services
    • Non-GIPS Verification
    • GIPS For Asset Owners
    • Can OCIOs Be GIPS Compliant
  • Services
    • Consulting
      • Technology Consulting
      • Operations Review
    • Training
      • Fundamentals of Investment Performance Measurement
      • Performance Measurement Attribution
      • GIPS Workshop
      • In-House/Custom Training
      • Portfolio Risk Class
      • Performance Measurement for the Non-Performance Professional
      • PERFORMANCE MEASUREMENT FOR ASSET OWNERS AND CONSULTANTS
    • Software Certification
    • Vendor Support
      • Marketing Support
      • System Consulting
    • Publishing
    • Research
  • Products
    • The Journal
      • Media Kit
      • Article Submissions
      • Past Articles of The Journal of Performance Measurement
      • Dietz Award Winners
  • Conferences and Forums
    • Conferences
      • Virtual PMAR Web-Conference
      • PMAR North America
      • PMAR Europe
      • PMAR West
      • Performance Jeopardy Champions
      • Web Conferences
    • Performance Measurement Forum
    • Asset Owner Roundtable
  • Investment Performance Guy Blog
    • CIPM Tips & Tricks
    • Resource Center
  • About Us
    • TSG In The News
    • The Company
    • Awards and Recognition
    • Our Story
    • Careers
  • Contact
Search the site...
Home» Product » Effective Return of Portfolio Positions

Effective Return of Portfolio Positions

Posted by spaulding - July 16, 2014 -
0
Awaiting product image

$25.00

Effective return is appropriate for reporting returns for portfolio positions in a monthly portfolio statement, or similar applications. The aim is to resolve problems that can occur with existing return methods when cash flows into or out of positions occur during the month. Effective return is a money-weighted return, like IRR or Modified Dietz. A key distinction is that effective return is not specifically a monthly return but instead simply relates the income on a position (realized and unrealized) to the capital allocated to that position, regardless of the fraction of the month the position was held. We believe that investors may find this method more informative, avoiding the misleading returns that can sometimes result with existing methods.

SKU: Summer201317-4-1 Category: Uncategorized
  • Description

Description

 “Effective return,”  is appropriate for reporting returns for portfolio positions in a monthly portfolio statement, or similar applications. The aim is to resolve problems that can occur with existing return methods when cash flows into or out of positions occur during the month. Effective return is a money-weighted return, like IRR or Modified Dietz. A key distinction is that effective return is not specifically a monthly return but instead simply relates the income on a position (realized and unrealized) to the capital allocated to that position, regardless of the fraction of the month the position was held. We believe that investors may find this method more informative, avoiding the misleading returns that can sometimes result with existing methods.

Related products

  • Placeholder

    Fixed Income Attribution: The Constant Quest to Explain Residuals

    $25.00
    Add to cart
  • Placeholder

    The Journal Interview: Timothy P. Ryan, CIPM

    $25.00
    Add to cart
  • Test Product

    $10.00
    Add to cart
  • Creating and Managing Custom Benchmarks – A Practitioner’s Guide

    $25.00
    Add to cart

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Privacy Policy   Terms and Conditions
Copyright 2018-2019. The Spaulding Group.
  • Terms of Use
  • Privacy Policy
  • About Us
  • Contact Us
CFA Institute does not endorse, promote or warrant the accuracy or quality of The Spaulding Group, Inc. GIPS® is a registered trademark owned by CFA Institute.
 
This site uses functional cookies and external scripts to improve your experience. If you continue to browse the site, it indicates you accept our use of cookies.Accept Privacy Policy
Privacy Policy
Necessary
Always Enabled