Hello, you lovely lovely people! My brain is possibly not engaging but I'm struggling to get my head around this. I think I roughly understand what P&L is and understand what ROI is but when deciding which to use to work out the return, my brain isn't letting me.
I suspect ROI is the best indicator as believe it will allow me to calculate the return. For example, if I start with 100 and receive 120 – would that be 20% ROI? If so, how would you articulate the same figures when referring to P&L? Or even 'average' P&L – whatever that is?
I'll give a real example. Something I'm looking at has the following results over the same time period: 0.51% AVG P/L | 449.51% P/L | 3.24% ROI – which is the only one that shows how much the return would be on say 100 (and/or which is the best measure of performance?)
Been pulling my hair out over this for hours so really really appreciate it if anyone can spare a few seconds to help out!
Cheers!
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