The fund is up. Your account says otherwise 📱
You buy a fund. A year later the fund's page says it had a good year. Your account shows something smaller, maybe even red.
Nobody made a mistake. Those are two different measurements.
The fund's number assumes one deposit on day one, then hands off. It's grading the fund.
Your number depends on when your money actually showed up. If most of it went in after the run already happened, you own the fund but you missed the stretch that made its number look good. Drop a big chunk in right before a dip and your return can sit below the fund's for a long while, even though you hold the exact same thing.
Works the other way too. Money that landed just before a strong stretch makes your number look better than the fund's 📈
Two smaller things widen the gap. Some apps only show the price change and count dividends somewhere else. And whatever you paid to get in, trading fees or currency conversion, only comes out of your side.
So when the two disagree, the fund's number tells you how the investment did. Yours tells you how it went for your money, on your dates. Both are true.
Ever compared the two and thought your broker had it wrong? 👇
Educational, not financial advice. Just my read.
