Fund net value is the performance of fund value. The historical expected return of the fund can be estimated by the increase of the net value of the fund. It has given many investors a lot of reference value. As we all know, the fund calculates the expected return through the fund net value difference, and many funds or net worth wealth management products will say what the historical annualized growth is. So, how does the fund increment translate into annualized expected rate of return? If you want to know these contents, just take a look.

In order to observe the expected return level of the fund, many investors want to convert the periodic increase of the fund into annualized expected return, so as to estimate the value of this stage. So how does the fund's increase translate into annualized expected income?

First of all, we must understand that the increase of the fund is uncertain, not a straight line year-on-year. The general annualized expected rate of return is related to the increase of the fund, and the increase is related to the market price.

If it is an increase in the historical net value of one year, the annualized expected rate of return of the fund is to change this value; If it is a non-one-year growth, then it is calculated according to this growth interval.

Generally speaking, follow this formula: annualized expected return of the fund = fund increase * 360/ increase range;

For example, if a fund increases by 10% a year, then the annualized expected return of this fund is10%; If his three-year fund growth rate is 35%, then his average annualized expected rate of return in these three years is: annualized expected rate of return of the fund = fund growth rate * 360/ growth range =35%*360/360*3= According to the above calculation method, if we know the stage growth rate of the fund, we can estimate the expected return level of the fund.

Of course, all the expected return capacity only represents the expected return level of the fund in the past, and does not represent the future annualization.

Is it simple? Let's try it ourselves.

The above is about how to convert the fund's increase into annualized expected rate of return. I hope it will help everyone. Warm reminder, investment is risky, and financial management needs to be cautious.