- What Is Portfolio Growth Tracker?
- What Accounts Are Included in Portfolio Growth Tracker?
- Can You Explain the Portfolio Growth Tracker Net Investment vs. Market Value Chart?
- Can You Explain the Portfolio Growth Tracker Activity Summary?
- What Is Test Portfolio Changes?
- How Do I Add Other T. Rowe Price Funds to My Test in a Portfolio Analysis?
- What Is Asset Allocation?
Portfolio Growth Tracker aids in tracking the historical growth of your mutual fund investments over time. Portfolio Growth Tracker includes the account history for all your T. Rowe Price mutual fund accounts that are currently open and funded. All closed accounts are excluded from Portfolio Growth Tracker. The analysis consists of three components: Activity Summary, Asset Allocation, and Net Investment vs. Market Value.
Portfolio Growth Tracker is intended to be used as a tool to chart the historical growth of your mutual fund assets over time. The growth of your portfolio is based upon both the performance of your mutual funds and the timing and amounts of your transactions. Therefore, because all transaction activity in your account is tracked, the growth of your portfolio may differ from the return or performance of the mutual funds that make up your portfolio. This is because the performance of the mutual funds held in your portfolio only includes reinvested dividends and capital gains distributions, whereas you may have placed purchases or redemption transactions during the period.
The growth of your portfolio should be monitored over an extended period of time. Also, keep in mind that your portfolio may perform differently in the future than in the past. Past performance cannot guarantee future results. Before making changes to your portfolio, there are several other factors that should be considered, such as your investment objectives, your tolerance for risk, and your time horizons.
Portfolio Growth Tracker only includes T. Rowe Price retail mutual fund assets. Assets that you hold in Brokerage, College Savings Plan (529 Plans), variable annuity, and workplace retirement accounts are not included. The analysis only includes the account history for accounts that are currently open and have a balance. The account history for any accounts with a zero balance (all closed accounts) is not included in the analysis. Activity in your accounts prior to January 1, 1992, is also not included.
Your net investment, represented by the orange line in the chart, consists of the money that you have invested and withdrawn from your mutual fund accounts over the specified time period. Income proceeds are not included as net investment. At the beginning of the time period, the beginning value, net investment, and market value are all equal.
Your market value, represented by the blue line in the chart, is the number of shares held, which includes any purchases and sale and reinvested income, multiplied by the share price. At the beginning of the time period the market value is equal to the net investment. At the end of the time period, the market value is equal to the ending value. Periods of gains, where your market value is greater than your net investment, are shaded in green, while periods of losses, where your market value is less than your net investment, are shaded red.
For additional information, the Net Investment vs. Market Value tutorial will walk you through the creation of the chart.
This activity summary summarizes the key activities for the mutual fund account(s) included in the analysis for the specified time period. Here is a definition for each of the items in the activity summary:
- Beginning Value—The beginning value is the dollar value of all accounts included in the analysis for the beginning date chosen.
- Additions—Additions are any transactions to move money into your account(s) (that are not considered income or market fluctuation), including the purchase of new shares, exchanges into a fund, transfers from any other accounts, and dividends invested in an account from another account.
- Deductions—Deductions are any transactions to move money out of your account(s), including redemptions, exchanges from a fund, transfers to other accounts, or checkwriting activity. Any applicable redemption fees are also included in the deduction amount. Proceeds from any income that is not reinvested in the same account (cash dividends paid to you and dividends invested into another account) are also reflected as a deduction.
- Income—Income is any proceeds (cash or reinvested dividends, short- and long-term capital gain distributions) earned in your accounts. Income that is not reinvested in the same account (cash dividends paid to you and dividends invested into another account) is reflected as a deduction.
- Market Fluctuation—Market fluctuation is any increase or decrease in the value of your accounts over the period selected caused by the changes in the mutual funds' beginning and ending share prices (net asset values). If all of your holdings are money market funds, there should be no change in value due to market fluctuation, although this is not guaranteed.
- Ending Value—Ending value is the dollar value of all accounts included in the analysis for the ending date chosen.
- Net Change—Net change is the dollar value difference between the beginning value and the ending value for the specified time period.
Test Portfolio Changes is a tool you can use to analyze your T. Rowe Price mutual fund and brokerage holdings, along with any new or other external holdings you wish to include. The results are broken down into three categories: Asset Allocation, Risk/Reward, and Morningstar X-Ray®.
You have the option to include additional T. Rowe Price funds in your Test in a Portfolio analysis. This feature allows you to select potential additions to your portfolio from our more than 90 no-load funds, enter an amount, and see the resulting portfolio analysis before you transact.
Asset allocation allows you to view how your portfolio is divided among the three main asset classes: stock, bond, and money market funds. Asset allocation is an important indication of how well your portfolio is diversified. Bear in mind that your optimal stock/bond/money market mix-or asset allocation-will be a moving target, as you should adjust your asset allocation toward conservative investments as you move closer to retirement or any other savings goal.