CFA考試
報考指南考試報名準(zhǔn)考證打印成績查詢備考資料考試題庫

重置密碼成功

請謹(jǐn)慎保管和記憶你的密碼,以免泄露和丟失

注冊成功

請謹(jǐn)慎保管和記憶你的密碼,以免泄露和丟失

當(dāng)前位置:首頁CFA考試視頻知識正文
當(dāng)前位置:首頁CFA考試CFA視頻正文

How to apply MWRR and TWRR?

幫考網(wǎng)校2020-10-13 16:41:25
|
MWRR (Money-Weighted Rate of Return) and TWRR (Time-Weighted Rate of Return) are two methods used to calculate investment returns. Here are the steps to apply them:

MWRR:

1. Determine the cash flows: Identify the amount and timing of all cash flows (investments and withdrawals) during the investment period.

2. Calculate the net present value: Using the cash flows, calculate the net present value (NPV) of the investment.

3. Solve for the rate of return: Solve for the rate of return that makes the NPV equal to zero using a financial calculator or Excel.

TWRR:

1. Calculate the period returns: Divide the investment period into sub-periods and calculate the return for each sub-period.

2. Calculate the geometric mean: Calculate the geometric mean of the sub-period returns.

3. Adjust for external cash flows: Adjust the geometric mean for external cash flows (investments and withdrawals) using the formula: [(1 + geometric mean) / (1 + weighted cash flow)] - 1.

4. Calculate the TWRR: Add 1 to the adjusted geometric mean and raise it to the power of the number of sub-periods, then subtract 1 from the result.

Note that MWRR is affected by the timing and size of cash flows, while TWRR is not. MWRR is more appropriate for evaluating the performance of individual portfolios, while TWRR is more appropriate for comparing the performance of different portfolios.
幫考網(wǎng)校
|

推薦視頻

推薦文章

辽阳市| 麟游县| 江永县| 大洼县| 平度市| 深圳市| 常德市| 洮南市| 鄂州市| 高要市| 公主岭市| 平塘县| 林西县| 宝坻区| 什邡市| 镇安县| 乐都县| 枣强县| 高雄市| 犍为县| 抚宁县| 张掖市| 平利县| 玉山县| 都昌县| 佛学| 兴国县| 田林县| 乌兰察布市| 嘉义县| 资溪县| 资源县| 谢通门县| 松江区| 兴业县| 上思县| 弥勒县| 徐闻县| 鄂托克旗| 五华县| 外汇|