(TAR for short) is used by investors to measure the return rate of an investment portfolio, which can reflect the overall return of the investment portfolio. This article will explain how to calculate return on total assets and the importance of return on total assets.
What is return on total assets?
(TAR for short) is used by investors to measure the return rate of an investment portfolio, which can reflect the overall return of the investment portfolio. Return on total assets is the rate of return received by investors on the funds invested in the investment portfolio, which can reflect the overall return of the investment portfolio.
Calculation method of return on total assets
The calculation method of return on total assets is: return on total assets = (total income of the investment portfolio - total investment of the investment portfolio) / investment The total investment of the combination × 100%.
For example, if an investor invests 1,000 yuan and the total income during the investment period is 1,200 yuan, then the total asset return rate is: (1200-1000)/1000×100%=20%.
The importance of return on total assets
Return on total assets is an important indicator for investors to measure the return of the investment portfolio. It can reflect the overall return of the investment portfolio. Investors can judge the return of the investment portfolio by calculating the return on total assets, thereby deciding whether to continue investing or adjust the investment portfolio.
In addition, the return on total assets can also be used to measure the risk of the investment portfolio. Investors can judge the risk level of the investment portfolio by calculating the return on total assets, thereby deciding whether to continue investing or adjust the investment portfolio.
Application of return on total assets
Return on total assets can be used to measure the return and risk level of an investment portfolio. Investors can judge the performance of an investment portfolio based on return on total assets. Return situation and risk level to decide whether to continue investing or adjust the investment portfolio.
In addition, the return on total assets can also be used to measure the efficiency of the investment portfolio. Investors can judge the efficiency of the investment portfolio by calculating the return on total assets, thereby deciding whether to continue investing or adjust the investment portfolio.
Summary
Return on total assets is used by investors to measure the return rate of a portfolio, which can reflect the overall return of the portfolio. Investors can calculate the return on total assets to judge the return and risk level of the investment portfolio, thereby deciding whether to continue investing or adjust the investment portfolio. The calculation method of return on total assets is: return on total assets = (total income of the investment portfolio - total investment of the investment portfolio) / total investment of the investment portfolio × 100%. The return on total assets is an important indicator for investors to measure the return of an investment portfolio. Investors can judge the return and risk level of the investment portfolio based on the return on total assets, and thus decide whether to continue investing or adjust the investment portfolio.