Time-weighted return (TWR) calculates an investment portfolio or fund’s performance while accounting for external cash flows. Investment funds usually have money flowing in or out at various times.
Caroline Banton has 6+ years of experience as a writer of business and finance articles. She also writes biographies for Story Terrace. Gordon Scott has been an active investor and technical analyst ...
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 ...
Measuring returns is essential for evaluating the success or failure of an investment program. At first glance, this seems like a straightforward exercise. However, return measurement becomes ...
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Time-Weighted Return

What Is Time-Weighted Return? Time-weighted return (TWR) is a method of measuring investment performance that accounts for the impact of cash flows and the timing of those flows. This method is ...