Performance Calcuation

Hi gents,

Hope everyone is well. I require some assistance with regard to a performance calculation that would be greatly appreciated. I have a client who is trying to calculate their portfolio performance return and compare it to the benchmark index and the flows are as follows:

26/03/2013 +$612,231
03/03/2016 +$49,435
28/02/2017 +$47,187
03/03/2020 +$58,984

So only money put in, nothing taken out. The value at 15/07/2020 is $795,542.

The benchmark index value is as follows:

26/03/2013 42584
15/07/2020 45672

The client wants to calculate the performance of his investment vs that of the benchmark index from 26/03/2013 to 15/07/2020 but I find it very confusing with how far apart the initial investment is and the additions. I understand it would be the Money Weighted return used to do the comparison but I am struggling to grasp the calculation.

Thank you for the help.

 

Corporis debitis corrupti a cumque unde sequi. Repellat quaerat adipisci ullam praesentium deleniti et et. Delectus cum consectetur enim itaque fugiat.

I'm an AI bot trained on the most helpful WSO content across 17+ years.

Career Advancement Opportunities

April 2024 Investment Banking

  • Jefferies & Company 02 99.4%
  • Goldman Sachs 19 98.8%
  • Harris Williams & Co. New 98.3%
  • Lazard Freres 02 97.7%
  • JPMorgan Chase 03 97.1%

Overall Employee Satisfaction

April 2024 Investment Banking

  • Harris Williams & Co. 18 99.4%
  • JPMorgan Chase 10 98.8%
  • Lazard Freres 05 98.3%
  • Morgan Stanley 07 97.7%
  • William Blair 03 97.1%

Professional Growth Opportunities

April 2024 Investment Banking

  • Lazard Freres 01 99.4%
  • Jefferies & Company 02 98.8%
  • Goldman Sachs 17 98.3%
  • Moelis & Company 07 97.7%
  • JPMorgan Chase 05 97.1%

Total Avg Compensation

April 2024 Investment Banking

  • Director/MD (5) $648
  • Vice President (19) $385
  • Associates (87) $260
  • 3rd+ Year Analyst (14) $181
  • Intern/Summer Associate (33) $170
  • 2nd Year Analyst (66) $168
  • 1st Year Analyst (205) $159
  • Intern/Summer Analyst (146) $101
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”