How do I calculate an annual percentage yield based off quarterly returns?
I am looking at some of my investments and have calculated what their quarterly returns are, but I want to know how to calculate the yearly return based off of those quarterly returns, while taking compounded interest into account. Its similar to finding an APY, but the difference is that the rate of return is changing every quarter. For example: if I return 25% every quarter, that doesn’t mean I had a 100% return because I haven’t taken into account the compounding interest. I want a formula that DOES take that compounded interest into account. Thanks I understand how to do it with a cash flow, but I’m looking for a formula or other method that looks at STRICTLY the % returns.