Investing Glossary Trailing Returns

http://www.takeasmartstep.com/trailing-return/ What is a trailing return and how it is calculated. More information on how to use this at the link above. It is determined by looking at the Net Asset Value of a mutual fund (the price) at the beginning of the time period compared to the end of the time and then determining the percentage change. For example: if the fund started with a value of $5 and ended at $7 the change would be calculated as follows: (Value today – original value)/original value = return*100 Thus (7-5)/5 = .4*100 = 40% Trailing Return You would also include any dividend that would be reinvested or expenses that would lower your return.

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