Search results

@chucky16 I haven't taken any withdrawals! I think the explanation is as in another comment: even though Vanguard themselves refer to IRR in calculating it, it's not actually a "rate" because they don't annualise it. Instead it appears to be the value IRRnumber of years since inception of...

@cor Yeah, pretty sure, it's an accumulation fund so dividends go back in. On my 'holdings' it is all (except £0.08) in this index fund, with total cost stated as £10,400 and current value £11375. No money has left and been paid into any of my other accounts.

@dundermifflinfarmer I think I did use mostly "simple" language, but XIRR and IRR are just well known notions of rate of return of investments, anyone who doesn't know them can obviously just Google them. It would be kind of weird to write up a whole explanation of what they are on a thread...

@kristine403 Yes, the figure they give you isn't annualised. It's mad to me that they don't give you the annualised figure! So I tend to just take their IRR figure (e.g., 1.12 if they say 12%) and raise it to the power of 365/n, where n = number of days since reopening the account.

@ilovegod7777 Who knows! I think it says somewhere it's just an "estimate", but being 4-5% off the XIRR I calculate is kind of ludicrous!

@systematiker !thanks

@systematiker That would be kind of odd, as otherwise it's not a "rate"! They should really make all of this a bit clearer.

@maizeemay I'm talking about the figure you see in the top-right box on the "overview" screen you first see when you log in, labelled "personal rate of return" (hopefully yours is the same, it also gives the same figure when you press "view performance").' Are you absolutely sure it tells you...

@therese1234 Ok, I agree completely with what you're saying, from a practical perspective. All I'm saying - in a poorly explained way perhaps - is that quotes such as the above aren't technically answering the question from a theoretical/mathematical perspective, as I can construct (I know...

@therese1234 True, although you could equally say So this is mostly only helpful when coupled with the exact interest rates etc. Surely there must be some situations where it's better to pay off debts first. Presumably it's most likely it'd be better to pay into the pension before paying off...

@maizeemay Are you sure about this? On my "overview page" it says personal rate of return is 11.36%. If I click 'view performance' below that, it gives the same figure with an i symbol for more info, which says: "Your rate of return - Your personal performance uses a formula called internal...

I'm trying to work out what's going on with the personal rate of return Vanguard gives you, as it seems to be wildly off for me. This is the number stated on the home screen, and when you view performance. I understand what IRR (and XIRR) are, and I realise the rate of return takes into account...

@sunnybasa Paying regularly into a saving account gives you future interest too...

@graybuffalo I wouldn't worry too much about the power usage: not sure, but I'd guess they mostly have comparable efficiencies (as long as you're getting a decent brand) but a higher power one will do a lot more good work, which in turn offsets costs: the more moisture you pull out of the air...

@honoluluwindow Huh? That makes no sense at all. If you overpay you stop paying interest on what you've overpaid, which doesn't touch the remainder.