by Krisan Marotta | Jun 10, 2014 | Reporting
In finance, yield is typically a measure of the amount of cash that a security produces for its owner. However, the term is often used to refer to different mathematical formulas in different situations. According to Investopedia, yield is: The income return on an...
by Krisan Marotta | May 19, 2014 | Most Popular, Performance
PortfolioCenter provides two main performance calculations: Internal Rate of Return (IRR) and Time-Weighted Rate of Return (TWR). What’s the difference? IRR measures the overall growth of the portfolio. If your goal is to reach a $1 million by age 65, IRR...
by Krisan Marotta | May 9, 2014 | Performance
How can there be a positive Dollar Gain (DG) and a negative Time Weighted Return (TWR)? Or vice versa? These “strange but true” returns occur more frequently than you might expect. First, remember that TWR measures the growth of the average dollar in a...
by Krisan Marotta | Mar 28, 2014 | Reporting
Q.Why does the Position Performance Summary in PortfolioCenter appear to duplicate additions and withdrawals? A.The short answer is the report does not duplicate cash flows; it includes internal movements of cash. Suppose Mr. HappyClient opens a new account and...
by Krisan Marotta | Feb 25, 2014 | Reporting
Q. Why is the gain/loss on my PortfolioCenter performance reports different than the gain/loss on the PortfolioCenter tax reports? A. Comparing the gain/loss on performance reports to the gain/loss on realized gain/loss reports is comparing apples and oranges. The...
