For HD spreadsheet aficionados, the Personal Investment Returns Spreadsheet posted on Bogleheads provides an easy way to track your investment performance. It calculates money-weighted rate of return (IRR) and time-weighted rate of return from monthly cashflows and balances. For a lump sum investment the rates of return are identical, but for ongoing investments they are different primarily due to the vagaries of Mr. Market. However, as in my case, it can also point out behavioral mistakes (MWRR << TWRR). Because I didn't know what I was doing, I got burned by the Dot-com boom and bust. The tool also allows a comparison of your previous investment choices with what would have happened had your cashflows been invested in a benchmark fund instead. I wish I knew then what I know now... I still haven't achieved the fourth stage of index investing (1. Darkness. 2. Enlightenment. 3. Complexity. 4. Simplicity.)
Thanks to @parkslope for the link. I had previously done the Myers-Briggs test and was evaluated as ISTJ. I'm not quite as much of an outlier as Kristine for the Big 5 personality test, scoring 4 on extroversion and 80 on conscientiousness. But I wonder how stable that result is (i.e., if I took the test 6 months from now or on an atypical euphoric or down day, would my score be similar?). As far as how my personality impacts my financial decisions, I find myself to be far more conservative than I probably should be given that I will have a Federal Government pension.
Jonathan,
Wishing you and your family fortitude and serenity as you go on this arduous journey. You have created something special here in Humble Dollar. It really does feel like a family, including the occasional squabbles amongst the contributors. :-) I'm looking forward to your unveiling of the new feature that will allow the site's writers and readers to continue to interact with other. And I hope you will be part of that conversation for a long time! I do not wish for your voice or the voices of the vibrant Humble Dollar community to go silent.
Comments
For HD spreadsheet aficionados, the Personal Investment Returns Spreadsheet posted on Bogleheads provides an easy way to track your investment performance. It calculates money-weighted rate of return (IRR) and time-weighted rate of return from monthly cashflows and balances. For a lump sum investment the rates of return are identical, but for ongoing investments they are different primarily due to the vagaries of Mr. Market. However, as in my case, it can also point out behavioral mistakes (MWRR << TWRR). Because I didn't know what I was doing, I got burned by the Dot-com boom and bust. The tool also allows a comparison of your previous investment choices with what would have happened had your cashflows been invested in a benchmark fund instead. I wish I knew then what I know now... I still haven't achieved the fourth stage of index investing (1. Darkness. 2. Enlightenment. 3. Complexity. 4. Simplicity.)
Post: What’s the Best Way to Measure Investment Performance?
Link to comment from June 8, 2025
Thanks to @parkslope for the link. I had previously done the Myers-Briggs test and was evaluated as ISTJ. I'm not quite as much of an outlier as Kristine for the Big 5 personality test, scoring 4 on extroversion and 80 on conscientiousness. But I wonder how stable that result is (i.e., if I took the test 6 months from now or on an atypical euphoric or down day, would my score be similar?). As far as how my personality impacts my financial decisions, I find myself to be far more conservative than I probably should be given that I will have a Federal Government pension.
Post: Does Personality Matter When It Comes To Finances?
Link to comment from August 18, 2024
Jonathan, Wishing you and your family fortitude and serenity as you go on this arduous journey. You have created something special here in Humble Dollar. It really does feel like a family, including the occasional squabbles amongst the contributors. :-) I'm looking forward to your unveiling of the new feature that will allow the site's writers and readers to continue to interact with other. And I hope you will be part of that conversation for a long time! I do not wish for your voice or the voices of the vibrant Humble Dollar community to go silent.
Post: The C Word
Link to comment from June 15, 2024