Re: Portfolio Overlay
In Reply to: Portfolio Overlay posted by Bob Organ on February 06, 2002 at 21:05:12:
: When using the portfolio overlay graph, if investments are added or sold during the graphing period, are they only included in the portfolio results for the time period that the investment was non-zero in the portfolio?
: For example
: Day 0
: Then on day 5
: On day 10
: For the period of day 1-5, if prices are entered for Investment C - are they included in the hypothetical performanc of $10K (or not included since the "value" is 0 for those days)?
: Similarly, for days 6-10, is Investment A included (if prices are entered) or is it not included because the value would be 0 for those days?
: Thanks much,
From the online help:
This graph plots the actual portfolio value and an equivalent hypothetical value for each selected investment. The hypothetical investment value starts off at the same value as your portfolio on the beginning graph date. This hypothetical investment value is displayed as if you had invested all your money in just this investment. When you take money out of (or put money into) the portfolio, the same amount is also taken out of (or put into) the investment.
Price + Dist.:
This graph plots the hypothetical portfolio price plus distributions and the normalized price plus distributions for your selected overlaid investments. The portfolio and all overlaid investments start off at an initial price of $100 (user-adjustable
Example: You have 2 investments in your portfolio, investments A and B. On day 0 investment A has a value of $100 at a share price of $10/share. On day 0 investment B has a value of $300 at a share price of $20/share. Therefore, on day 0 the portfolio has a value of $400, comprised 25% of A, and 75% of B. All investments and the portfolio have the same starting price of $100 on day 0. Assume, that on day 1, investment A increased 10% to a value of $110 and a share price of $11/share, and investment B increased 5% to a value of $315 and a share price of $21/share. The portfolio price would increase by 6.25%:
6.25% = 25% * 10% + 75% * 5%
This would increase the hypothetical portfolio price for day 1 to $106.25. The weightings would then be readjusted to (110/425)*100 % and (315/425)*100 % for the calculations of hypothetical portfolio price for day 2.
To change the range of dates being graphed see the menu/toolbar command View/Dates, use the mouse shortcut, or see the keyboard shortcuts. To change the initial price used for the Price + Dist. style of this graph see the menu command Graphs/Options/Display....
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