What is the Significance of Absolute % return and Compounded Annualised % return in the selection of a scheme of a Mutual Fund???
127390
Absolute Return is the return that an asset achieves over a period of time. This measure simply looks at the appreciation or depreciation that an asset make over a period of time.\n\nHowever return is not the same every year, A mutual fund  might be up 40% one year and down 5% the next. Compound Annual Return provides the annual return for such an investment as if it had grown at a steady, even pace. In other words, it tells you how much you would have to earn each year, compounded on your principal to arrive at the final selling value. \n\nFor example if you buy some mutual fund for $1000, 1 year later it is worth $1100, the absolute return for first year is 10%. At the end of year 2, it become worth $1440, the absolute return for second year is 30.9% (340/1100). But in term of compound annual return, it is 20% for these 2 years period. 1st year $1000x1.2=$1200, 2nd year $1200x1.2=$1440.
503475
Performance Summary as on 30th June '06 \nScheme Performance\n(1 year) Annualised\nReturns \n(Since\nInception) Inception\nDate  \n(The first percentage is this years return.  The second % is the annual return since it started.  The date that follows is the inception date.)\nPreserver *                   6.03%     5.51%      17/May/04 \nProtector #                   3.41%      8.14%      16/Nov/01 \nBalancer ##                15.90%    17.50%      16/Nov/01 \nMaximiser ^                  42.08%   32.81%      16/Nov/01 \nPension Preserver *       5.99%     5.28%    17/May/04 \nPension Protector #       3.41%      6.39%     31/May/02 \nPension Balancer ##     16.63%   18.17%    31/May/02 \nPension Maximiser ^      42.07%   37.51%    31/May/02 \nInvestShield Cash #        4.40%     4.40%     04/Jan/05 \nInvestShield Life **         14.42%   11.41%    04/Jan/05 \nInvestShield Pension ** 13.19%    10.96%    04/Jan/05 \n \nThese funds have not been in effect long enough to give an accurate opinion.  I like to look at 3 year, 5 year & 10 year results.  You may want to look into other top ranked companies.  Get quotes from other top ranked companies here:\n\nhttp://www.insureme.com/landing.aspx?Refby=614505&Type=life \n\nTake care,\nRon @ InsureMe
648870
The PMT function is the one to use.\n\nThe difference between the regular annuity and the annuity due is when you make your first payment.  If it is at the end of the first year, then it is a "regular annuity" (so one full year has elapsed before any money is actually in the account).  For an "annuity due," the time starts counting when the first deposit is made--the deposits are made at the beginning of each year.  Obviously, the difference here is a year's worth of interest.\n\nLike the previous respondent, I'm not sure how the payment amount you calculated was determined.  My figures are the same as the first response to your query.
72932
id you mean systematic?  If so, it is putting away money on a regular and consistant basis into a tax deferred vehicle such as a 401k or an IRA.  The money you put away plus any interest it earns and any growth is tax deffered until it's withdrawel at retirement.
486254
Answer - $104.89\n\nReason:\nHere the rate of return is 9 % = .09 and our cash flow is a constant C = 9.44. Plug those into the PRESENT VALUE INTEREST FACTOR FOR ANNUITIES equation, which is:\n\nPV = C * (1-((1/(1+R))^n))/R\n\nHere n = infinity, since the security has no maturity, and will pay out as long as its in business. So\n\nPV = 9.44 * (1-(1/(1.09))^(inf.))/.09\n\nNotice 1/1.09 ~ .9174311, which is less than one. Multiplying a number less than 1 by itself an infinite amount of times will result in an infinately small number, extermely close to zero. So\n\nPV = 9.44 * (1-0)/.09\n\nPV = 9.44/.09\n\nPV = 104.888888 ~ 104.89\n\nNOTE: If you paid more for this security, your implied rate of return would be less than 9 %. Conversely, if you paid less for this security, your implied rate of return would be more than 9 %.\n\nI hope this cleared things up.\n\nRunner
153886
600M/3B=40% return per year\n\n1.8M/3M = 60% return per year.\n\nThough, it really depends what you could do with the remaining 597M.
457912
If you're talking about http://www.swisscash.com/ then yes, it very much looks like a scam.\n\na 20% ROI per month is unreal.  60% of mutual fund managers underperform the S&P 500 each year.  If you could make 20% per month or 300% year as it claims, there would be no need for mutual funds at all.\n\nThe site looks like a complete scam
568454
while investing always aim for long term, and by opting dividend reinvestment mode you will be having more number of units in you name and there by more chances of dividends etc., in future., btw dividends are exempt from income tax
368541
If you are cashing out, then it would not make a difference if you sell before or after the distrubtion date. However, if you can wait till next year you can differ your capital gains tax.\n\nIf you are putting money into the fund then it is best to invest after the distrubtion date. Typically when a fund pays out (dividends & cap gains) the NAV (Price) drops; however, the number of shares you own increases if you selected for dividend/cap gain reinvestment. In other words,  your total account value will remain unchanged. However, the capital gain distrubtions may be taxable (If not in an IRA), and therefore, it is best to differ your taxes to next year (Assuming that you are in the same tax bracket next year)
79484
Reinvesting dividend is like purchasing new units at their market value. Most of the people use this option to save tax on long term capital gains that they would incur in growth option. \n\nTo calculate the returns, the simplest and the most logical way is to compare the market value of your investment incl that of the newly purchased units through dividend reinvestment while ignoring the dates of reinvestment. Further, if you wish to, you can annualize the returns and/or use appropriate inflation deflator to calculate the real returns.
101345
growth or value?\n\nI've looked at this one.  It might be something that I'd consider, if I was looking for another fund.  Though its a bit toward growth.\n\nhttp://finance.yahoo.com/q?s=PISRX&d=t
636508
It's a lottery type thing. Not on the shores of the US--that should cause you some concern. Their website says you get your return on investment in two years.
171078
Annual return is the profit a company makes for a given year.  In its simplest form, annual return is calculated by taking a companies total sales(revenues) and subtracting business costs(expenses).  Another common name for annual return is net income.  EG. In 2005 XYZ company had a net income of one million dollars.\n\nSometimes companies measure annual return by looking at the profits from continuing operations, the return before interest and taxes, etc.  But in everyday language, an annual return, as I said before, means simply bottom line profit also known as net income.  \n\nCompanies use annual return figures to measure performance. The objective of any sober business is to maximize the annual return.  If the return is considered too low, a business will take steps to increase it.  This includes cost cutting, improving product quality through innvoation, and expanding into new markets(selling a product in a new places).\n\nDoes this help?
31715
There are actuall 3 ways for a mutual fund to pay a return. \n1. Capital Gains would be paid when a mutual fund manager decides to close out a position in a specific stock that fund owes. Now if the stock is sold for a premium (above cost of what it was bought for) they will get money back to distribute to the shareholders. Ex. Manger bought 100shares of Coke for 23.00 sold for 25.00 has capital gains of 200.00 \n2. Dividends are the second way. When a stock that the fund owes pays a divdend it can be paid back to the shareholders of the fund. Ex. coke declares a 5 cent dividend per share. For every share the fund owns they will receive 5 cents. Now if the fund owns bonds rather than stocks whenver they receive interest payments from that bond they will pay a dividend.\n3 Is to sell your mutual funds. If you sell higher than what you bought for you gain money. Simple enough.\n\nAs far as when do they acutally pay out returns like in 1 and 2. Not exactly possible to say. Since the return on these investments are guaranteed you aren't always going to get a return. Say you do a mutual fund company is required under the investment company act of 1940 to pay out income atleast annually. Usually at the end of the year. They will however usually pay dividends quarterly if there are any and capital gains are usually annually to semi-annually.
111688
First off did you pay taxes on the Dividends that you received from the Mutual Fund or did you pay taxes on both the earnings of the mutual fund and the Dividends.  \n\nIf you haven't paid taxes on the earnings every year then you have to pay taxes on the entire amount of earnings. (Your current value of the fundsdifferencee cost basis) In this case your cost basis is simply the initial investment.  \n\nIf you have paid taxes on your earnings.  Then the cost basis is the amount your reported last year.  For example if you reported that the value of your fund went up from $100 to $150 in 2004 and you paid the taxes on that $50 earning.  Then for 2005 your cost basis will be $150 and you would pay the taxes on the diffrence of that $150 and your current value.\n\nWithout knowing any more specific information about your situation I don't believe I can give better advice then that.\n\nBelow are some websites from the IRS on accounting methods and selling of stocks/mutual funds.\n\nMonteverde2\nUS Army Tax Preparer
186581
ISA stands for Individual Savings Account.  There are two types Maxi and Mini.\n\nMaxi ISA - £7000 invested in stocks & shares\nMini ISA - £4000 in stocks & shares and £3000 cash.
382489
Investments with a doubling would be a geometric sequence.  Terms depend on a *multiplication* of previous terms, so it is geometric.\n\nc) geometric sequence.