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Re: ROI (btw) always annualizing[ Message Board ] [ Archives ] [ Search ] Posted by Corey on January 10, 2007 at 12:56:00: In Reply to: Re: ROI (btw) always annualizing posted by Mark on January 10, 2007 at 12:24:34: Yes - the stock was puchased last December, and the custom report was for the calendar year. Maybe I misunderstood the Roi (btw) function and the option to annualize yields. If I create a custom report for a period of 1 year, it sounds like you are saying the Roi (btw) will always annualize investments held less than a year because it is calculating the Roi between the start and end date (which is 1 year). I was under the impression that if you uncheck the annualize option, then the Roi (btw) will give the un-annualized yield, even though my custom report is for 1 year. Maybe I'm using the wrong field. If I want to know what were my top performing investments in 2006, and how well they did (as measured by return on investment), what field should I use? If I use Roi (btw) that would skew all my recent purchases (and sales) because it would annualize the returns. If I use Roi (end), that does not show me how the investment did in 2006 because that would show me the return for the life of the investment. Does that make sense? Any help would be appreciated. : : Mark, : : I just used that one investment as an example. But it seems that all investments are acting this way (not just 1 or 2). : : If you run a report for a calendar year, all investments held less than a year will show significantly higher Roi (btw) than Roi (end). : : I was under the impression that if an investment was held for less than a year and the report was for that year period, then the Roi (btw) and Roi (end) would be the same (annualized yields unchecked). : : In fact, checking and unchecking the "Annualized yields" option will cause Roi (end) to change from an unannualized to an annualized. But Roi (btw) will always remain annualized. : : If your reports do not do this, then maybe my program got corrupted or I have some option toggled wrong? : : Thanks. : Hi Corey, : The "ROI (end)" field is going from the date of your first transaction, up through the ending report date. The "ROI (btw)" is going from the starting report date to the ending report date. Since your report date range is for 1 year, the ROI (btw) will always be the same whether you are annualizing or not. It is already the yield for 1 year. : I suspect the ROI (end) is actually for a yield term much less than one year, since the ROI (btw) is so much larger than ROI (end). If you owned a stock for the last month of the year, and it made 7.4% in that one month, the annualized yield for 1 year would be much larger (roughly 7.4% times 12 months). : When did you first buy the stocks in question? Would this explain the difference between the 2 yields? : Thanks,
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