Quicken does not calculate ROI correctly

Marcus Libkind
Marcus Libkind Quicken Windows Subscription Member ✭✭
edited November 2018 in Investing (Windows)

I don’t think that Quicken Deluxe 2018 R10.11 calculates the ROI
correctly. Let me explain.

I buy a mutual fund for a total of $10,000. Over the course of time it
pays dividends of $2,000. Its current market value is $15,000. I would calculate
the ROI as (15,000-10,000)/10,000 = 50%, but the result given in Investing
>> Portfolio for ROI will be different. Note: Those are made up numbers but give the gist of the problem.

Can anyone explain this?

Comments

  • Sherlock
    Sherlock Quicken Windows Subscription Member ✭✭✭✭
    edited October 2018
    If you haven't already, you may want to review: https://www.quicken.com/support/about-key-investment-performance-calculations-used-quicken
  • Marcus Libkind
    Marcus Libkind Quicken Windows Subscription Member ✭✭
    edited October 2018
  • NotACPA
    NotACPA Quicken Windows Subscription SuperUser ✭✭✭✭✭
    edited July 2018

    Q user since February, 1990. DOS Version 4
    Now running Quicken Windows Subscription, Business & Personal
    Retired "Certified Information Systems Auditor" & Bank Audit VP

  • Rocket J Squirrel
    Rocket J Squirrel Quicken Windows Subscription SuperUser ✭✭✭✭✭
    edited July 2018

    Quicken user since version 2 for DOS, now using QWin Premier (US) on Win10 Pro.

  • Jim_Harman
    Jim_Harman Quicken Windows Subscription SuperUser ✭✭✭✭✭
    edited November 2018
    Note that the av annual return numbers are annualized, so they will be larger than you might expect if the analysis or holding period is less than one year.
    QWin Premier subscription
  • NotACPA
    NotACPA Quicken Windows Subscription SuperUser ✭✭✭✭✭
    edited July 2018

    Q user since February, 1990. DOS Version 4
    Now running Quicken Windows Subscription, Business & Personal
    Retired "Certified Information Systems Auditor" & Bank Audit VP

This discussion has been closed.

Categories