Position valuation and performance reflects expected divided payments (accrued income). Between a security's ex-date, the date that a security price is reduced by the dividend payment amount, and the security's pay date, the date the dividend is actually paid to the investor, position valuation and performance is adjusted to include the dividend amount.
Position valuation and performance includes accrued interest.
Returns are reported net of expenses, such as mutual fund expenses, transaction fees and investment management fees. If you paid a management fee from a non-managed account, adjusting transactions have been entered to reduce performance by the fee amount.
Performance is calculated daily by Tamarac, Parkside Advisor LLC's portfolio accounting service provider.
Security prices are obtained by Tamarac from Fidelity and Schwab. If pricing is not available from Fidelity or Schwab, Tamarac obtains pricing data from other custodians linked to it, and finally from Interactive Data Corporation. Therefore, valuations in Parkside Advisor LLC's reports may vary slightly from pricing reported by your custodian. Cost basis information is downloaded from your custodian.
The performance of your portfolio is displayed as an internal rate of return (“IRR”) or time weighted return (“TWR”). TWR is the return of the investment, irrespective of the timing of inflows to and outflows from the portfolio. IRR is also a performance measurement, but it takes into account inflows and outflows - it is the return on each dollar invested for each period it is invested. Since the manager does not control the contributions and withdrawals from the portfolio, TWR is generally considered to be the best measure of your manager’s performance, while IRR is the best measure of your portfolio’s actual performance. IRR and TWR will be the same or very similar during periods in which there were no inflows or outflows from the managed portfolio. These values will differ when money is deposited or withdrawn from the account during the statement period.
The Position Performance report will display “n/a” for securities that were sold during the quarter. The performance of the security is included in the total lines.
Reports include performance benchmarks as follows: US Large-Cap Equities = S&P 500 Index; US Small-Cap Equities = Russell 2000 Index; Foreign Developed Market Equities = MSCI EAFE Index (net of dividends); Emerging Markets Equities = MSCI Emerging Markets Index (price only); Fixed Income = Barclays US Aggregate Bond Index.
Reports include a blended benchmark, which is the allocation-weighted return of your Investment Policy as follows:
| Blended Benchmark Equity / Fixed Income | S&P 500 Index | Russell 2000 Index | MSCI EAFE Index (net of dividends) | MSCI Emerging Markets Index (price-only) | Barclays US Aggregate Bond Index |
|---|---|---|---|---|---|
| 100% / 0% | 35% | 20% | 35% | 10% | 0% |
| 90% / 10% | 34% | 20% | 28% | 8% | 10% |
| 75% / 25% | 30% | 15% | 23% | 7% | 25% |
| 60% / 40% | 25% | 10% | 19% | 6% | 40% |
| 50% / 50% | 24% | 6% | 16% | 4% | 50% |
| 25% / 75% | 12% | 5% | 6% | 2% | 75% |
| 0% / 100% | 0% | 0% | 0% | 0% | 100% |
If your investment policy has changed, the blended benchmark will reflect the new composition of the portfolio beginning on the date of the Policy's execution. For example, if your policy changed from 90/10 to 75/25 on June 30th, then the blended benchmark for the period through June 30th will be calculated using 90/10 percentages, and will be calculated using 75/25 percentages from July 1st going forward.
Benchmark portfolios are hypothetical and are not representative of actual portfolios. Their performance is hypothetical, for illustrative purposes only and is subject to limitations. The hypothetical performance is gross of fees and is rebalanced semi-annually. Past and hypothetical results are no guarantee of future results.
Parkside Advisors LLC urges you to compare the information in your statement with the statements you receive directly from your custodian.