Comments on: How to calculate your return on investment http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/ Special situation stocks and value investing Fri, 10 Oct 2008 22:02:53 +0000 http://wordpress.org/?v=2.6.1 By: Joe http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-316668 Joe Sun, 14 Sep 2008 20:52:45 +0000 http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-316668 For all those asking about how to calculate return when there are cash flows in or out of the account during the period, you need to use TWIRR: Time Weighted IRR. This makes your calculations comparable to other published returns, for instance from mutual funds. http://www.dailyvest.com/Products/prod_calcmethods.aspx#twrr For all those asking about how to calculate return when there are cash flows in or out of the account during the period, you need to use TWIRR: Time Weighted IRR. This makes your calculations comparable to other published returns, for instance from mutual funds.

http://www.dailyvest.com/Produ......aspx#twrr

]]> By: Oiza http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-300930 Oiza Mon, 18 Aug 2008 15:27:55 +0000 http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-300930 Pls can someone tell me how to calculate Return On Investment for a Sector. For instance if i want to calculate ROI for the agricultural sector. Thanks Pls can someone tell me how to calculate Return On Investment for a Sector. For instance if i want to calculate ROI for the agricultural sector. Thanks

]]> By: Fat Pitch Financials Turns 4 http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-297860 Fat Pitch Financials Turns 4 Tue, 12 Aug 2008 13:23:50 +0000 http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-297860 [...] How to calculate your return on investment [...] [...] How to calculate your return on investment [...]

]]> By: J Ricketts http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-254432 J Ricketts Sun, 25 May 2008 14:49:29 +0000 http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-254432 How do I find your calculator for annualized rate of return? How do I find your calculator for annualized rate of return?

]]> By: Calculating IRR? - Personal Finance Forums http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-233243 Calculating IRR? - Personal Finance Forums Thu, 10 Apr 2008 13:44:58 +0000 http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-233243 [...] This blogger seems to have good success with XIRR. He provides a sample spreadsheet. __________________ The time of maximum pessimism is the best time to buy and the time of maximum optimism is the best time to sell. -- Jack Bogle [...] [...] This blogger seems to have good success with XIRR. He provides a sample spreadsheet. __________________ The time of maximum pessimism is the best time to buy and the time of maximum optimism is the best time to sell. — Jack Bogle [...]

]]> By: Sanjay Belorkar http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-229540 Sanjay Belorkar Thu, 03 Apr 2008 11:52:00 +0000 http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-229540 Hi, I would like to know , how to calculate monthly gai/loss of NAV in percentage. Thanks, Sanjay Hi,
I would like to know , how to calculate monthly gai/loss of NAV in percentage.

Thanks,
Sanjay

]]> By: S. SRIPATHI http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-195589 S. SRIPATHI Mon, 14 Jan 2008 16:57:11 +0000 http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-195589 Nice and Simple article. Examples are excellent. Nice and Simple article. Examples are excellent.

]]> By: Bob http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-189788 Bob Tue, 01 Jan 2008 20:24:48 +0000 http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-189788 How do you take into account the fact that you make withdrawals during the year. Example: Balance Jan 1 is $100,000; take out $1000/month each month and withdraw $20,000 on Aug 15; balance Dec 31 is $103,000. What is that real return on you investment for that year. Thanks Bob How do you take into account the fact that you make withdrawals during the year. Example: Balance Jan 1 is $100,000; take out $1000/month each month and withdraw $20,000 on Aug 15; balance Dec 31 is $103,000. What is that real return on you investment for that year.
Thanks Bob

]]> By: Tony http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-177740 Tony Thu, 29 Nov 2007 22:51:24 +0000 http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-177740 Could somebody please help me know how to figure this hypothetical situation: I invest $1000 per month in a mutual fund. After 12 months, it is worth (with growth & dividends) $15000. What was my rate of return, assuming $1000 per month meant that my total investment is $12000? I could figure it easily as 25% if I invested $12K one time, and one year later it was worth $15K, but I do not know how to figure it since I invested $1K twelve different times - monthly. Thank you. Could somebody please help me know how to figure this hypothetical situation:

I invest $1000 per month in a mutual fund. After 12 months, it is worth (with growth & dividends) $15000. What was my rate of return, assuming $1000 per month meant that my total investment is $12000? I could figure it easily as 25% if I invested $12K one time, and one year later it was worth $15K, but I do not know how to figure it since I invested $1K twelve different times - monthly.

Thank you.

]]> By: Joff Wickins http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-162514 Joff Wickins Mon, 15 Oct 2007 15:25:54 +0000 http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-162514 In calculating the IRR% using MONTHLY cash streams does one multiply the formula by 12 irrespective of whether the cashflow is say 12 months or 48 months ie. you’re using the figure 12 as a common factor to convert years to months? In calculating the IRR% using MONTHLY cash streams does one multiply the formula by 12 irrespective of whether the cashflow is say 12 months or 48 months ie. you’re using the figure 12 as a common factor to convert years to months?

]]> By: Special Drawing Rights http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-161458 Special Drawing Rights Thu, 11 Oct 2007 14:49:43 +0000 http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-161458 Thanks for the info about to calculate your return on investment - Fat Pitch Financials! Thanks for the info about to calculate your return on investment - Fat Pitch Financials!

]]> By: Rajesh Pawar http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-161368 Rajesh Pawar Thu, 11 Oct 2007 06:09:20 +0000 http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-161368 a humble request to all the Financial wizards......can somebody tell me the difference between Return ON investment and Return OF investment ??? Thnx & regards, Rajesh Pawar a humble request to all the Financial wizards……can somebody tell me the difference between Return ON investment and Return OF investment ???

Thnx & regards,

Rajesh Pawar

]]> By: Jonah http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-155092 Jonah Tue, 18 Sep 2007 23:04:09 +0000 http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-155092 Hi George, What method would you use to compare the $100,000 initial investment in your example to investing that money in a high yield savings account with 5% compounded interest? I'm trying to find the correlation between the final answer APY/XIRR in your example and the 5% compounded interest number - basically to answer the question - how does this investment compare to a simple bank account at x% compounded interest? Thanks in advance! Hi George,
What method would you use to compare the $100,000 initial investment in your example to investing that money in a high yield savings account with 5% compounded interest? I’m trying to find the correlation between the final answer APY/XIRR in your example and the 5% compounded interest number - basically to answer the question - how does this investment compare to a simple bank account at x% compounded interest?
Thanks in advance!

]]> By: George http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-152856 George Tue, 11 Sep 2007 14:23:13 +0000 http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-152856 Jonah, the XIRR function is working in my example <a href="http://spreadsheets.google.com/ccc?key=pzQyUkd3KRr8wN4RZrRPLOg" rel="nofollow">Google Spreadsheet</a>. Be sure the dates column for the XIRR function are properly formatted dates in Google Spreadsheets. Sometime they can get converted to standard text. I hope that helps. Jonah, the XIRR function is working in my example Google Spreadsheet. Be sure the dates column for the XIRR function are properly formatted dates in Google Spreadsheets. Sometime they can get converted to standard text. I hope that helps.

]]> By: Jonah http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-151374 Jonah Sat, 08 Sep 2007 08:53:26 +0000 http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-151374 Hi George, the XIRR function is not recognized in Google spreadsheets - is there something I'm missing? Great article - thanks! Hi George, the XIRR function is not recognized in Google spreadsheets - is there something I’m missing?
Great article - thanks!

]]> By: Fat Pitch Financials Turns 3 - Fat Pitch Financials http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-141516 Fat Pitch Financials Turns 3 - Fat Pitch Financials Thu, 16 Aug 2007 03:56:27 +0000 http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-141516 [...] How to Calculate Your Return on Investment [...] [...] How to Calculate Your Return on Investment [...]

]]> By: NATHAN http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-133261 NATHAN Tue, 17 Jul 2007 22:58:05 +0000 http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-133261 I can't seem to adapt this to work for me. I buy and sell stocks frequently. I also deposit and withdraw money from the account frequently. What would be the best way to calculate how my entire portfolio is doing? I can’t seem to adapt this to work for me. I buy and sell stocks frequently. I also deposit and withdraw money from the account frequently. What would be the best way to calculate how my entire portfolio is doing?

]]> By: Tarun http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-108616 Tarun Sun, 13 May 2007 19:02:02 +0000 http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-108616 sir i have done my m.b.a. in marketing and presently i am associated withan fmcg company but i am interested to do some course in finance if u guide me in this relation then it will be great moreover if u could send me some literature in context to finance then i would be verythankful to u my email id is tgupta83@yahoo.co.in sir i have done my m.b.a. in marketing and presently i am associated withan fmcg company but i am interested to do some course in finance if u guide me in this relation then it will be great moreover if u could send me some literature in context to finance then i would be verythankful to u my email id is tgupta83@yahoo.co.in

]]> By: George http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-97288 George Wed, 11 Apr 2007 21:22:22 +0000 http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-97288 pfstock I'm glad you found this post useful. Thanks for the feedback and the linkback. pfstock I’m glad you found this post useful. Thanks for the feedback and the linkback.

]]> By: pfstock http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-93669 pfstock Mon, 02 Apr 2007 15:14:14 +0000 http://www.fatpitchfinancials.com/392/how-to-calculate-your-return-on-investment/#comment-93669 Thanks for the very good post about how to calculate rate of return! I wrote my own post about the XIRR spreadsheet function on my own blog, referring my readers to this post. I found the Excel spreadsheet especially useful. I hope that this is OK with you. Thanks for the very good post about how to calculate rate of return! I wrote my own post about the XIRR spreadsheet function on my own blog, referring my readers to this post. I found the Excel spreadsheet especially useful. I hope that this is OK with you.

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