On 17 October 2024, we released several updates to our pies feature.
These changes are effective immediately on our web app. To access the new features on your mobile device, please update to the latest version available on the App Store or Google Play.
📊 Pie charts
The pie chart now includes the following values:
- Total Value: The overall value of everything in your pies, including investments and cash.
- Return: The total profit or loss from your current and past investments, including dividends.
- Rate of return: The percentage of growth or loss in your portfolio, adjusted for the impact of money you’ve added or withdrawn. For example, if you invested when the market was high, your return may look different than if you invested during a dip. This gives you a more personalised look at how your money has performed based on your decisions, not just market ups and downs. Rate of return uses the money-weighted rate of return to calculate performance.
- Net deposits are the difference between the cash you've deposited and withdrawn from your pie. It shows your net contributions, helping you understand how much you’ve put in overall. To view this value, tap the “settings” icon below the chart and enable it from the menu.
💷 Unified Performance Metrics
To better reflect tax implications, the fields Invested, Average Price, and Return now account for your activity both inside and outside pies when involving the same instrument. This means any transactions you make outside pies will impact the performance metrics of that instrument inside pies, and vice versa.
🥧 Example
- You buy 1 share of TSLA at $100 outside the pies.
- You buy 1 share of TSLA at $100 inside the pies.
| Inside pies | Outside pies |
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- You buy 1 more share of TSLA at $200 outside the pie.
| Total Holdings | Inside pies (1 share) | Outside pies (2 shares) |
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The invested amounts inside and outside pies are adjusted based on the average price per share across your entire holding of that instrument. This reflects how gains and losses are calculated for tax purposes.
📄 Note
If you want to check the real total return of your pies, please refer to the “Return” field in the chart. It includes the total profit or loss from your current and past investments, including dividends.
What is MWRR?
The Money-Weighted Rate of Return (MWRR) measures your investment performance by accounting for when and how much money you add or withdraw from your portfolio. It gives you a personalised return that reflects your unique investment journey.
Why use MWRR?
- Personalised performance: MWRR adjusts for your specific deposits and withdrawals.
- Accurate measurement: It shows how your actions impact overall returns, providing a true picture of your investment experience.
MWRR versus simple rate of return
- Simple rate of return: Compares only the starting and ending values of your portfolio, ignoring any transactions in between.
- MWRR: Considers every deposit and withdrawal, adjusting the return based on timing and amount.
Example 1: Adding money during the year
- Start: £1,000
- Mid-year deposit: Add £500
- End of year value: £1,600
| Simple rate of return (SRR) calculation | MWRR calculation |
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Example 2: Withdrawing Money During the Year
- Start: £1,000
- Mid-year withdrawal: take out £500
- End of year value: £1,500
| Simple rate of return calculation | MWRR Calculation |
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Key benefits of MWRR
- Reflects your actions: Accounts for the timing and size of your deposits and withdrawals.
- Provides accurate performance: Offers a true picture of how your investments performed over time.
By using MWRR, you get a clearer understanding of your investment performance, taking into account all the factors that affect your returns. It's a more personalised and accurate way to measure how well your portfolio is doing.