Money-Weighted vs. Time-Weighted Returns
There are two standard ways to measure portfolio performance, and they answer different questions. The Money-Weighted Return (MWR) measures your personal return, taking into account the timing and size of your deposits and withdrawals. The Time-Weighted Return (TWR) measures the portfolio strategy performance, neutralizing the impact of cash flows.
Think of it this way: if you invested a large sum right before a market rally, your MWR would be higher than the TWR because your timing was favorable. Conversely, if you added money right before a downturn, your MWR would be lower. TWR removes this timing effect to show how the portfolio itself performed.
MWR is annualized automatically once your portfolio has been active for at least one year, giving you a rate that can be compared with other annual benchmarks. For portfolios younger than one year, the total MWR since inception is shown.
TWR is always shown as a total cumulative return. When your portfolio reaches one year of age, an annualized TWR is also displayed, making it easy to compare your investment strategy against index benchmarks or other funds.
As a rule of thumb, use TWR when evaluating whether your investment strategy is working well, and use MWR when evaluating whether your overall investment experience — including your timing decisions — has been successful.
Recent P/L and Year-to-Date P/L
Recent P/L shows the change in your portfolio value over the most recent trading day. It is calculated as the difference between the current market value and the previous close, giving you a quick snapshot of today's market impact on your holdings.
Year-to-Date (YTD) P/L measures the change in portfolio value since January 1st of the current year. This is a widely used benchmark period that lets you track how your investments have performed during the calendar year, making it easy to compare with annual market indices and fund returns.
Both metrics are displayed in absolute currency terms and as a percentage. They update automatically as market prices change throughout the trading day.
Current and Maximum Drawdown
A drawdown measures the decline from a portfolio peak to a subsequent trough. It is one of the most important risk metrics because it quantifies the worst-case loss an investor has experienced (or is currently experiencing) relative to their previous high point.
Current Drawdown shows how far your portfolio is currently below its all-time high. For example, if your portfolio reached a peak of 10,000 EUR and is now at 9,200 EUR, the current drawdown is -8%. When your portfolio is at its all-time high, the current drawdown is 0%.
Maximum Drawdown shows the largest peak-to-trough decline your portfolio has ever experienced. It represents the worst loss period in your portfolio's history and is a critical metric for understanding the risk you have taken. A maximum drawdown of -15% means that at some point, your portfolio dropped 15% from its previous peak before recovering.
Together, these metrics help you assess whether the volatility in your portfolio is within your risk tolerance and how the current market conditions compare to the worst period you have already endured.
All-Time High (ATH)
The All-Time High is the highest total value your portfolio has ever reached. It serves as an important psychological and analytical benchmark for investors.
1ndexed tracks your ATH automatically and displays it alongside your current portfolio value. When your portfolio is within 1% of its all-time high, a trophy badge appears to indicate that you are near or at peak value.
Monitoring the ATH is useful for understanding where you stand relative to your best performance. Combined with the drawdown metrics, it gives you a complete picture of how your portfolio has evolved through market cycles — celebrating new highs while staying aware of how far you might fall from them.