Time Weighted Rate of Return (TWRR)

   Start SIPs Online 





1 Time Weighted Rate of Return is a method of computing the returns of a portfolio.

2 It eliminates the distorting effects created by inflow and outflow of money caused by interim investments and redemptions.

3 To compute TWRR for any period, calculate the returns for every sub-period before any contribution or withdrawal occur and then geometrically link these sub-period returns together to compute the return over the period.

4 It is used to compare the returns of managed portfolios like mutual funds where there is no control on cash flows and to compare investment managers' performance.

5 It requires daily portfolio valuations whenever any contribution or withdrawal occurs, hence not used to compute returns at individual level.

Invest Rs 1,50,000 and Save Tax up to Rs 46,350 under Section 80C. Get Great Returns by Investing in Best Performing ELSS Funds. Save Tax Get Rich

For further information contact SaveTaxGetRich on 94 8300 8300

OR

You can write to us at

Invest [at] SaveTaxGetRich [dot] Com

OR

Call us on 94 8300 8300