A rolling return is a term used to describe the average annual return over a specific period of time, ending in a given year. It helps in determining the performance of your funds over the particular holding period.

Unlike point-to-point returns, which measure performance from one specific date to another, rolling returns take into account all possible overlapping periods to provide a more complete picture of a fund's performance over time.
For example, if you are looking at the rolling 12-month returns of a mutual fund, you would calculate the fund's return for each of the past 12 months, as well as the average return of those 12 months. This would give you a better understanding of how the fund has performed over time, rather than just looking at its performance from one specific date to another.

Rolling returns are calculated by taking the average annualized return of a mutual fund over a specific period. This is done by taking into account all possible overlapping periods of the specified length..

A Rolling Returns calculator works by taking a specified time period (e.g., 1 year, 3 years, 5 years) and then calculating the returns of a mutual fund for all possible overlapping periods within that specified timeframe. It provides a comprehensive view of the fund's performance during different market conditions.

A Rolling Returns calculator provides a more accurate and realistic assessment of a mutual fund's performance over time. It helps investors understand the fund's consistency and performance during various market cycles, reducing the impact of cherry-picked timeframes.

Rolling returns offer several benefits over other measures of mutual fund performance, such as point-to-point returns.

• They provide a more complete picture of a fund's performance over time.
• They can help you identify trends in a fund's performance.
• They can help you compare the performance of different funds over different time periods.
• They can help you identify periods of time when a fund may have been more or less volatile.

No, a Rolling Returns calculator cannot predict future performance. It is a historical analysis tool that provides insights into a mutual fund's past performance and helps investors assess its consistency and volatility.

Rolling returns can be a useful tool for evaluating mutual funds, but they should not be used in isolation. You should also consider other factors, such as the fund's fees, its investment objective, and its risk profile, when making investment decisions.
Here are some tips for using rolling returns to evaluate mutual funds:

• Look at the rolling returns of different funds over different time periods. This will give a better understanding of how the funds have performed in different market conditions.
• Compare the rolling returns of a fund to its benchmark index. This will help see how the fund has performed relative to the market as a whole.
• Look for funds with consistent rolling returns. This is a sign that the fund is managed well and is likely to continue to perform well in the future.
• Be aware of the drawbacks of using rolling returns. Don't rely on rolling returns as the sole factor in investment decisions.

When interpreting the results of a Rolling Returns calculator, look for consistent and positive returns over various timeframes. Focus on the average or median returns, as well as the range of returns, to assess a mutual fund's performance and stability.

Yes, there are limitations to using a Rolling Returns calculator. It relies on historical data and does not guarantee future performance. Additionally, it may not consider other important factors such as market conditions, economic changes, or fund-specific events.