When it comes to evaluating investment performance, investors and financial professionals rely on various metrics to gain insights into the effectiveness of their strategies. One such crucial measure ...

Discover how the Modified Dietz Method measures investment returns, factoring in cash flow timing and excluding skewing ...

We estimate the average dollar invested in US mutual funds and exchange-traded funds earned 7.0% per year over the decade ended Dec. 31, 2024. That estimate, which is akin to an internal rate of ...

One of the most common misconceptions I see from new investors is assuming cash-on-cash return (CoC) and internal rate of return (IRR) are interchangeable. They’re not and understanding the difference ...

Being under the illusion that you are earning a high rate of return when your true return is sub-par often leads to overconfidence, which is a performance killer. Money-weighted returns (also called ...

IRR measures the rate needed to break even on an investment. Calculate IRR by setting NPV to zero and solving for the discount rate. Use Excel's IRR function by inputting initial cost and cash inflow.

Waterfalls in private equity and venture capital dictate how investment returns are distributed among stakeholders. These structures determine who gets paid, in what order, and under what conditions.

The Board of Investment of Sri Lanka (BOI) has intensified efforts to attract new local and foreign investments into the ...

Required rate of return (RRR) gives investors a benchmark to determine the minimum acceptable return on an investment considering the risk involved. By calculating RRR, investors can assess whether an ...

Calculated at the end of 2025 for the past five years, the placements made by a contributor to Pillar II pension funds in Romania, earning the average wage each month, generated a real internal rate ...

Carried Interest refers to the fund manager’s incentive interest in an alternative investment fund, typically contingent on meeting key performance benchmarks. When gifting a percentage of their carry ...

VRP provides diversified exposure to 315 holdings, mainly floating-rate and resettable preferreds, with a $2 billion asset base and investment-grade credit quality. The fund's average credit rating is ...