1 Reply Latest reply on Sep 21, 2012 3:03 PM by Tracy Rodgers

    Geometric mean or product/multiply function - Compounding returns

      hi,

       

      I am trying to find ways to compound daily returns of an investment - some kind of geometric mean or product function. Don't seem to be able to find anything relevant.

       

      Many thanks!

      Marvin

        • 1. Re: Geometric mean or product/multiply function - Compounding returns
          Tracy Rodgers

          Hi Marvin,

           

          You can do this by creating a couple of calculated fields.

           

          First, create a calculation similar to the following (in this example it's called 'previous'):

           

          sum(Value)*previous_value(1)

           

          Then, using the above calculation, create a second similar to the following:

           

          window_max([previous])^(1/total(count(Term)))

           

          Place this on the view. Depending on how the table is set up, it may be necessary to change the way the calculation is being computed. To do this, right click on it and select Compute Using...

           

          Hope this helps!

           

          -Tracy