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What are Rolling Returns?

Rolling returns are the returns on an investment measured over several periods.

How Do Rolling Returns Work?

The rolling returns on an investment are measured over a discrete number of consecutive periods (usually years) starting with the beginning of the earliest period and finishing with the end of the most recent. For instance, the two-year rolling return for 2008 would begin on 1 Jan 2007 and end 31 December 2008 (a full two years).

Why Do Rolling Returns Matter?

Rolling returns reflect the cumulative return on a continuously held investment over a number of consecutive periods.

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Paul Tracy
Paul Tracy

Paul has been a respected figure in the financial markets for more than two decades. Prior to starting InvestingAnswers, Paul founded and managed one of the most influential investment research firms in America, with more than 3 million monthly readers.