Unitisation
Posted: November 24th, 2016, 6:07 pm
Would anyone be able to point me to the top up spreadsheet as I would like to unitise my portfolio.
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Markblox wrote:Would anyone be able to point me to the top up spreadsheet as I would like to unitise my portfolio.
Breelander wrote:Markblox wrote:Would anyone be able to point me to the top up spreadsheet as I would like to unitise my portfolio.
TheTop Up Spreadsheet does not include unitisation, but a possible extension was proposedhere (more 'in development' than a finished product). The Lemon Fool Financial Software repository has a number of other notes on unitisation, including links to a number of board posts on the subject.
Markblox wrote: I also have to make a decision on the start date. I don't want to go back to the beginning but the portfolio started to grow rapidly in size at the end of 06. Just ten years then...
... but if I read it correctly there is no dividend payments to input which will make it a whole lot easier, although I may be wrong as my eyes were getting a bit heavy by that stage.
Gengulphus wrote:The other potential stumbling block with backdating unitisation is knowing the portfolio value on all dates that units were added or removed...
Alaric wrote:If you have full details and dates of all cash flows in and out along with portfolio values at start dates and end dates, you can use Excel's or Open Office's XIRR function to calculate the rate of return on the portfolio between two dates. Unitisation is another method of calculating the same information. It's arguably more complex but necessary if there's more than one investor in the portfolio to give the split of their share of the assets.
Gengulphus wrote:Alaric wrote:If you have full details and dates of all cash flows in and out along with portfolio values at start dates and end dates, you can use Excel's or Open Office's XIRR function to calculate the rate of return on the portfolio between two dates. Unitisation is another method of calculating the same information. It's arguably more complex but necessary if there's more than one investor in the portfolio to give the split of their share of the assets.
No, unitisation does not calculate the same information as XIRR(). Both are arguably rates of return, but the devil's in the detail of what you mean by the "rate of return".
Gengulphus