My calculation tab is showing a significant loss (which i agree with) but the performance chart is showing a profit overall as of today.
Am i misunderstanding the profit chart?
The chart shows a time-weighted rate of return (Wikipedia article), which means it corrects for the varying amount of money invested, showing what would have been the result for a constant invested amount. You may be more interested in looking at the internal rate of return, which is money-weighted, especially if you are not tracking all of your assets.
A simple example: You invest $100, and it grows to $110 within a year (+10%). Then you invest additional $890 (making it $1000 in total), and the value shrinks to $950 after another year (–5%). Then the time-weighted return (+10% followed by –5%) will be positive, approximately +5%, even though you actually lost money ($950–($100+$890) = –$40).
Thanks, makes sense. Can i change my chart to track irr instead? If so how?
No, that’s not possible, at least for now.
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Thanks again.
Hopefully one for the development list! At least i know what it can/can’t do.