|Time-Weighted Return vs. Internal Rate of Return - TWR vs. IRR|
|Written by Larry Swedroe|
|Thursday, 22 April 2010 00:00|
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The IRR and TWR are two return measures that are frequently used in investment performance reporting. These measures can yield significantly different results for the same time periods. It is important to understand the difference between the two and under what circumstances each measurement will be of greatest informational value.This material is derived from sources believed to be reliable, but its accuracy and the opinions based thereon are not guaranteed. The articles and opinions in this publication are for general information only and are not intended to serve as specific financial, accounting or tax advice. Copyright © 2010, Buckingham Family of Financial Services. All rights reserved. This material may not be copied or distributed (electronically or otherwise) without the written consent of Buckingham Asset Management. The products or services described herein are available to US citizens and residents only and the information contained is intended for such persons only. No information contained herein is an offer to sell. Investors should read the prospectus of a security prior to making any investments.
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|Last Updated on Thursday, 29 April 2010 08:07|