Practical Issues When Calculating Gross- and Net-of-Fees Return

Investment Performance Measurement Feature Articles
January 2011 | Vol. 2011 | No. 1
Source: CFA Institute
David Spaulding, CIPM



Calculating the gross-of-fees return if the net-of-fees return is known (and vice versa) is a simple mathematical exercise, in theory. But complications occur in practice depending on whether the actual fee was paid from the account itself or from some other source.

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