Howdy, Stranger!

It looks like you're new here. If you want to get involved, click one of these buttons!

In this Discussion

Here's a statement of the obvious: The opinions expressed here are those of the participants, not those of the Mutual Fund Observer. We cannot vouch for the accuracy or appropriateness of any of it, though we do encourage civility and good humor.

    Support MFO

  • Donate through PayPal

MFO Premium Questions

1. From my ad-hoc testing & comparison of some results from MFO Portfolio with PV (Portfolio Visualizer), it seems that the specified Portfolio allocations in MFO Premium are maintained throughout the periods. That would be similar to monthly rebalancing at PV & elsewhere although no such option exists at MFO. Just want to confirm this default for MFO Premium.

Specifically, PV offers following rebalancing options - none, monthly, quarterly, semi-annually, annually, and its results match those from MFO Premium the best when monthly rebalancing option is used at PV.

2. Rolling-up of some Risk & Return metrics to Portfolio level is also interesting (specifically, those aren't weighted-averages, as is done by some other portfolio analytics software). Some explanations may be included in the Definitions where weighted-averages are mentions for several other things, and that in fact may create a wrong impression that this is also dome for some critical Risk & Return metrics.

The clue to all this is in the following statement on MFO Premium Portfolio runs, but its significance may be missed by most users.

"Below, please find the "rolled-up" risk and return metrics for your selected portfolio, as well as metrics for each individual fund in the portfolio.

All risk and return metrics computed using monthly total returns, excluding any load, from Lipper Global Data Feed for U.S. funds and apply to display period indicated..."

Comments

  • edited March 22

    hi ybb.

    thank you.

    yep, monthly.

    the portfolio tool runs the monthly total returns of each fund applying the holding weight (either in % or $) at the return level and then computes the "rolled-up" metrics, like martin.

    motivation for the tool came from an article david published about his portfolio and feedback on this board, if I remember, along the lines that you can't weight metrics like maxdd because they are time (phase) dependent.

    here's a piece we did when the tool launched ...

    https://www.mutualfundobserver.com/2019/09/introducing-mfos-portfolio-analysis-tool/

    and another after we improved it with option to substitute category averages for younger funds, also in response to a david query ...

    https://www.mutualfundobserver.com/2020/12/an-improved-mfo-portfolio-analysis-tool/

    we will soon be adding several new "rolled-up" metrics, like sortino.

    c
  • edited March 22
    @Charles, thanks for your response. Monthly enforcement of allocation is what it looked like from comparison with PV monthly rebalancing. But your official confirmation is important. Here is some data for standard deviation (SD). LINK

                                           MFO    Wtd-Avg   PV w/o rebal   PV w/qtr rebal   PV w/mo rebal
    03/2023-02/2024 (1 Yr)    15.3    16.15       15.11             15.33               15.37
    03/2021-02/2024 (3 Yr)    15.4    17.15       15.38             15.38               15.38
    03/2019-02/2024 (5 Yr)    13.4    17.30       13.27             13.40               13.45
    03/2014-02/2024 (10 Yr)  10.6    14.35       10.80             10.62               10.66
    03/2009-02/2014 (15 Yr)   9.4     14.30       10.47             9.43                 9.44
  • Sweet.
  • edited March 22
    Except for MTD (and Weeks-To-Date WTD), and fund flows soon, all metrics on MFOP are based on month-ending data. It seems rather quaint, I know. And until third week of March 2020, I never gave it a second thought.
  • Is there a way to filter by MAXDD over a period (e.g., 10 y), rather than fund lifetime in MFOP MultiSearch?
  • @yugo, MFO Premium has several timeframes built-in, but timeframes are otherwise not customizable. This applies to MultiSearch, Portfolios, Watchlists.

    So, MaxDD is indeed available for the built-in timeframes.
  • @yugo, @yogibearbull

    thank you.

    there are dozens of display periods available on mfop, like: monthly, yearly, calendar year, market cycles, decadal, and other unique periods.

    in this case, just set display period to 10 years and then select the maxdd value or rating as desired.

    c
  • edited April 6
    you can also use the multisearch analyze tool on the results page to see maxxdd (and several other metrics) by calendar years and about 150 other fixed periods ... all in one datatable.
  • edited April 6
    ps. just about ready to go live with three fund flows tools, as previewed last december:

    one that plots total net assets, essentially aum, over time for up to 12 funds;

    another that plots total net flows, essentially sum of flows over indicated time period, again for up to 12 funds;

    and finally, a combo chart that plots total return, total net assets, total net flows, and daily or monthly flows (depending on how reported) for a single fund over time.

    it's taken weeks, months ... but pretty happy with result, especially the combo chart.

    the flows database is 6 times larger than the current mfop database. so, took a while to get a handle on it, but believe it will be great addition to mfop.

    c
  • Is MaxDD for closed end funds based on Price or NAV?
  • Interesting question.
    M* CEF data are mostly for NAV. Others use price (PV, TestFol, Stockcharts, etc).
    MFO Premium Definitions just says fund "value" (for OEFs, ETFs, CEFs) & it isn't clear if price or NAV is meant for CEF.
  • @yogibearbull yeah, I think it's NAV although Price would seem to make more sense... Thanks.
Sign In or Register to comment.