V at beg of Quarter Cash IF/OF at beg of Q V at end of Q Q1 2 0.2 2.4 Q2 2.4 0.4 2.6 Q3 2.6 (.2) 3.2 Q4 3.2 1 4.1 Porfolios annual time wighted retunr is closet too?? Can some one help me to get the below number…how do we get 1.0909…I tried using HPR In the solution, 1.0909*0.9286*1.33333*0.9762 = 1.3185 - 1 = 31.85% Thanks
Can you post in a better format?
it’s using HPY, So the first one is (2.4+0.2-2)/2 Do that for all of them and you’ll have four numbers. Next take geometric average so ((1+a)*(1+b)*(1+c)+(1+d))^0.25
First of all its, quaterly so we do not need to raise by 1/4 or 0.25 ??? Also, "So the first one is (2.4+0.2-2)/2 " = .30 But the answer in solution is 1.0909*0.9286*1.33333*0.9762 = 1.3185 - 1 = 31.85%
Q1) 0.3 Q2) 0.25 Q3) 0.15 Q4) 0.6 (1.3*1.25*1.15*1.6)^0.25-1 = 0.31