By Investment U Research Team Looking forward when you are investing can be tricky. The future is never certain, and you might not always know every variable affecting your investments. Still, there’s a lot to gain by extrapolating figures out into the future. That said, it can be confusing as to which formula or metric is most insightful. Case in point: when should you use Internal Rate of Return (IRR) vs. Return on Investment (ROI)?
Seasoned investors will immediately recognize these two values as important forward-looking measures. For new investors, however, it’s easy to get confused about them—what they represent, how they’re calculated and what they’re …read more