问题如下:
At the beginning of Year 1, a fund has $10 million under management; it earns a return of 14% for the year. The fund attracts another $100 million at the start of Year 2 and earns a return of 8% for that year. The money-weighted rate of return is most likely:
选项:
A.less than the time-weighted rate of return.
B.the same as the time-weighted rate of return.
C.greater than the time-weighted rate of return.
解释:
A is correct.
The money-weighted rate of return is found by setting the present value (PV) of investments into the fund equal to the PV of the fund’s terminal value. Because most of the investment came during Year 2, the measure will be biased toward the performance of Year 2. Set the PV of investments equal to the PV of the fund’s terminal value: Solving for r results in r = 8.53%. The time-weighted return of the fund is =
老师你好,
看了你给其他同学的回答,有一个疑问,
“用计算器算出MWRR对以上的判断做一个验证:CF0=-10; CF1=-100; CF2=10*1.14*1.08+100*1.08=120.312,CPT IRR=8.53%.”
为什么产生的return是CF2,而不是在每一期去计算,比如CF0=-10+10*1.14 CF1=-100+(100+10*1.14)*1.08,请问我这样理解是对的吗?