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how to get my rate of return

Posted: Thu Mar 14, 2013 7:08 pm
by coachz
I have been with Vanguard for over ten years. Their site only goes back five years on what my returns have been.

How can I get my annualized returns, also called the compound annual growth rate, to measure what my real return is and over the entire timeframe please?

Re: how to get my rate of return

Posted: Thu Mar 14, 2013 8:46 pm
by bogleblitz
Use morningstar

http://portfolio.morningstar.com

Enter all your transactions, shares, and when you bought it. Then click performance

Re: how to get my rate of return

Posted: Thu Mar 14, 2013 8:48 pm
by coachz
can vanguard give me an electronic copy of the last 13 years or so since I started with them ?

Re: how to get my rate of return

Posted: Thu Mar 14, 2013 8:50 pm
by White Coat Investor
Do you have records of your contributions and withdrawals? If so, you can XIRR them without any info from Vanguard other than current account value.

http://whitecoatinvestor.com/how-to-cal ... -function/

Re: how to get my rate of return

Posted: Fri Mar 15, 2013 8:27 pm
by coachz
no i dont have these records. Can VG give me electronic copies of every transaction they have received from me ?

Re: how to get my rate of return

Posted: Fri Mar 15, 2013 8:54 pm
by CantPassAgain
coachz wrote:I have been with Vanguard for over ten years. Their site only goes back five years on what my returns have been.

How can I get my annualized returns, also called the compound annual growth rate, to measure what my real return is and over the entire timeframe please?
I believe if you have made contributions during this period then you aren't looking for CAGR but rather your internal rate of return (IRR). CAGR is simply the growth rate of the balance, with no distinction as to whether that growth was caused by investment returns or new contributions.

Re: how to get my rate of return

Posted: Fri Mar 15, 2013 9:11 pm
by JW-Retired
coachz wrote: no i dont have these records. Can VG give me electronic copies of every transaction they have received from me ?
Ask them..... but I doubt they can since keeping all these records under a succession of computer systems is a royal pain. That's why you don't have any records
of your own. :)
JW

Re: how to get my rate of return

Posted: Fri Mar 15, 2013 9:30 pm
by xram
EmergDoc wrote:Do you have records of your contributions and withdrawals? If so, you can XIRR them without any info from Vanguard other than current account value.

http://whitecoatinvestor.com/how-to-cal ... -function/

you dont know of a good way to do this on MAC NUMBERS (does not have XIRR function), do you?
thanks
xram

Re: how to get my rate of return

Posted: Fri Mar 15, 2013 9:35 pm
by Rick Ferri
I included a simple time-weighted-return methodology in the Appendix 1 of my first book, Serious Money. The download is free.

Rick Ferri

Re: how to get my rate of return

Posted: Sun Mar 17, 2013 9:24 am
by Dandy
Just curious (not being critical) as to why would you, and many others, want to know your rate of return? If it were simple to get - cool. But once you get it what are you going to do? It is based on investments when there was a bond market bull market and several equity corrections. Do you think it will help you determine future rate of returns? Is it to see if your individual asset management beat some index or fund? Will the results possible prompt you to change your allocation?

I just don't know what I would do with knowing my past rate of return. I generally get a good idea how I am doing by looking at my individual fund performances and change in dollar value of my portfolio.

Re: how to get my rate of return

Posted: Sun Mar 17, 2013 1:02 pm
by Default User BR
Dandy wrote:Just curious (not being critical) as to why would you, and many others, want to know your rate of return?
That's always my question. Even assuming you figure it out accurately, what will you do with it? Admire it? I think there's almost nothing actionable in this. Making changes in investing approach based on it is likely to be a mistake.


Brian

Re: how to get my rate of return

Posted: Mon Mar 18, 2013 1:56 pm
by coachz
That's easy to answer. If it turns out after over 10 years that I''m not making any money, I'll buy a DELI and make sandwiches instead.

Re: how to get my rate of return

Posted: Mon Mar 18, 2013 2:09 pm
by Dandy
you can tell if you made money by looking at the change in dollar value of your portfolio. good luck with the portfolio or the deli.

Re: how to get my rate of return

Posted: Wed Mar 20, 2013 8:28 pm
by coachz
the dollar value changes every month because I keep adding money. Regarding the deli, thanks !

Re: how to get my rate of return

Posted: Wed Mar 20, 2013 8:41 pm
by bearwolf
xram wrote:
EmergDoc wrote:Do you have records of your contributions and withdrawals? If so, you can XIRR them without any info from Vanguard other than current account value.

http://whitecoatinvestor.com/how-to-cal ... -function/

you dont know of a good way to do this on MAC NUMBERS (does not have XIRR function), do you?
thanks
xram
The spreadsheet in google docs seems to have the xirr function. I haven't used it bit it is apparently in there.

BearWolf

Re: how to get my rate of return

Posted: Wed Mar 20, 2013 9:25 pm
by LadyGeek
bearwolf wrote:The spreadsheet in google docs seems to have the xirr function. I haven't used it bit it is apparently in there.

BearWolf
You can find XIRR in LibreOffice Calc, which runs on a Mac (also Linux and Windows).