Holistic Performance Index (HPI)
The HPI shows how your portfolio is really performing — not just how prices have moved, but what you've actually earned or lost.
What is the HPI?
The HPI incorporates dividends, taxes, and fees into the performance calculation — giving you a complete picture of your actual return. While a simple price return only shows how the price changed, the HPI accounts for every component that determines your real-world result.
What Makes the HPI Special
All Returns Count
Dividends, interest, and price gains — not just price movement.
All Costs Count Too
Purchase fees and capital gains taxes reduce your real return — the HPI accounts for that.
Time-Weighted Calculation
New positions are evaluated fairly — only for the period they were actually held.
Time-Weighting — Why It Matters
Each investment is only evaluated for the period it was actually held. New positions aren't unfairly dragged down by poor earlier phases, and old positions don't get an outsized boost from short good spells.
Example
Day 1 counts for 100% of the first day's return.
After one week, that day represents only 1/7 of the weekly performance.
After one year, it contributes 1/365 to the annual return.
This ensures every investment is weighted fairly — in proportion to how long it was actually held.
After one week, that day represents only 1/7 of the weekly performance.
After one year, it contributes 1/365 to the annual return.
This ensures every investment is weighted fairly — in proportion to how long it was actually held.
Time-weighting prevents short-term outliers from distorting your long-term picture — you see a balanced, realistic performance figure without timing distortions.