Annualised Performance


Annualised Performance is the percentage movement of an investment over a defined time period, calculated as an average per annum. The annualised performance of a fund is often compared against a benchmark, Morningstar category or an index. The calculation of annualised performance for funds generally uses total returns, with dividends reinvested.

The below example from a fund factsheet on our online fund centre shows how annualised performance is often displayed:

Annualised performance can be useful to show how much an investment may have returned per year over a period of time, though should be used in conjunction with cumulative performance and discrete performance to obtain the full picture of the historic performance of an investment.

It's important to note that performance includes the funds own management charges but excludes any product-specific related charges.

Past performance may not be repeated and should not be used as a guide to future performance.