by admin | May 9, 2025 | money-weighting, rates of return, time-weighting
Today’s animation discusses the fairly common situation, where a portfolio loses money but has a positive return. This video discusses how to explain positive returns when losses occur.
by admin | Jan 30, 2025 | Investment Performance Guy, News
By now you’re aware of Washington’s funding of Solyndra, the now bankrupt energy company that received something north of a half billion dollars in government loans. In Wednesday’s WSJ, Deborah Solomon had an article (“Solyndra Said to Have...
by admin | Jan 4, 2025 | money-weighting, time-weighting
When teaching our Fundamentals of Investment Performance course, when writing my books, and often when simply having conversations with clients, I am often faced with the task of explaining, in as clear a manner as possible, the differences between time and money...
by admin | Jan 1, 2025 | CIPM, CIPM expert, IRR calculation, money-weighted return, TI BA II Plus
A CIPM Expert Level candidate sent me the following question, asking what are the proper keystrokes to obtain the solution: The Millers deposited $50,000 into their account on 1 May 2005 and another $40,000 on 1 July 2005. The portfolio also received and reinvested...
by admin | Dec 28, 2024 | GIPS, Global Investment Performance Standards, risk, risk-adjusted return, Sharpe ratio, Standard Deviation
Standard deviation is a much misunderstood measure, in spite of its common use. First, is it a risk measure? It depends on who you ask. It’s evident that Nobel Laureate Bill Sharpe considers it to be one, since it serves this purpose in his eponymous...
