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How does the TSP calculate Personal Investment Performance?

April 26, 2017CALCULATE Investment PERFORMANCE TSP

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How does the TSP calculate Personal Investment Performance?

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The TSP uses the Modified Dietz method to calculate Personal Investment Performance. The Modified Dietz method weights individual cash flows by the amount of time that those cash flows are held in the portfolio. This method of calculation is widely used by financial analysts and investment managers to measure the time-weighted returns of investment portfolios.