As from April 2013 my Journey in Investing is to create Retirement Income for Life till 85 years old in 2041 for two persons over market cycles of Bull and Bear.

Since 2017 after retiring from full-time job as employee; I am moving towards Investing Nirvana - Freehold Investment Income for Life investing strategy where 100% of investment income from portfolio investment is cashed out to support household expenses i.e. not a single cent of re-investing!

Currently; it about 54% to destination!

Click to email CW8888 or Email ID :

Welcome to Ministry of Wealth!

This blog is authored by an old multi-bagger blue chips stock picker uncle from HDB heartland!

"The market is not your mother. It consists of tough men and women who look for ways to take money away from you instead of pouring milk into your mouth." - Dr. Alexander Elder

"For the things we have to learn before we can do them, we learn by doing them." - Aristotle

It is here where I share with you how I did it! FREE Education in stock market wisdom.

Think Investing as Tug of War - Read more? Click and scroll down

Important Notice and Attention: If you are looking for such ideas; here is the wrong blog to visit.

Value Investing
Dividend/Income Investing
Technical Analysis and Charting
Stock Tips

Monday, 29 June 2015

Investment Portfolio Performance Measurement: Absolute and Relative???

In absolute term; Uncle8888's investment portfolio total return on 11 Oct 2007 is 145% and on 29 Jun 2015 is 148%

Does the two absolute number of 145% and 148% look same and okay?

It is how absolute number says it loud and clear!

145% and 148%!

SMOL: Trust but Verify!

From Jan 2000 to 11 Oct 2007, the relative return in CAGR is 12.2%; but from Jan 2000 to 29 Jun 2015, CAGR is just 8.1%

Still same? Still okay?

When somebody tells you their Absolute Return. You should ask them for their Relative Return e.g. CAGR too.

When somebody tells you their Relative Return e.g. CAGR. You should ask them for their Absolute Return too.

Trust but Verify!



  1. Hi CW8888,

    Is it the law of big numbers catching up? i.e. Easier to generate higher CAGR on a smaller base and harder to generate the same CAGR on the bigger base




Related Posts with Thumbnails