tracking % return

B

Burtakus

Regarding % returns, how do you account for the addition of funds to an account as well as withdrawls when calculating % return for a given period. For example I track % return on a weekly and monthly basis for plotting my equitly curve. How would I account for me adding funds to the account in the middle of a month or the middle of the week and the same for withdrawls?

Any help would be great

Thanks
 
You add/deduct the capital deposited/withdrawn before making the calculation for the period.

Aaron Schindler posted that advice some time ago, if you care to search through his posts to get more info.
 
You will change how you do it after a while.

You are just in a transition state now.

Plan on having a variety of accounts for differing profit strategies. Keep the lveraged ones at cap level and add gross stuff to the major fund applications.

Gary Smith books are good on this matter.

What you are doing now is how people begin only.
 
Yep ... after a while you won't be adding to the investment trust at all (if things go alright) so you can do straight % returns on it (if you do withdrawals, then simply add them back in).
 
Thanks for the help. This is only the beginning. I want to track my performance but was not sure how to account for me adding funds to my account. I did not and have not fully funded my account yet because I want(ed) to go through as many growing pains as possible with a relatively small amount of capital at risk.

I just was not sure how to track my performance when making additions to my account.
 
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