Geometric linking of returns
Equation below assumes equal time periods
(1 + S1) x (1 + S2) x ... (1 + Sn) - 1
((1+.004) * (1+.0019) * (1+.0018)) - 1 = .007718 = .77%
What would be the equation/formula for unequal time period returns using the equation above to get a time weighted return?
.004 for 10 days
.0019 for 30 days
.0018 for 50 days.
Analysis period 90 days.
Trying to time weight the individual returns within this formula or any suggestion.
A test of any suggestion would be to enter an equal weighting for each variable with the result being .007718 = .77%; the same as the first equation where variables are defined as being weighted equally.
Am completely new to forums and am not familiar with etiquette; however, I would expect to pay for work done correctly; just don't know procedure.