Glossary
Allocation Effect

Money Weighted Return (MWR)

The percent effectiveness of an account's asset allocation to various sectors. The
allocation effect determines whether the overweighting or underweighting of sectors
relative to a benchmark contributes negatively or positively to an account's overall
return.

Money Weighted Return (MWR) is used to measure performance during the specified
report period. MWR is influenced by the time of decisions to contribute or to withdraw
funds, as well as the decisions made by the portfolio manager of the fund.

Asset Class

Negative Periods

A category of investment products in your portfolio. Cash, stocks, options, futures, etc.
are examples.

The number of occurrences of negative performance returns. For example, if you select
a monthly report with 12 months, each month with a negative return would be a
negative occurrence.

Attribution Effect

Net Asset Value (NAV)

The percent effectiveness of asset allocation and selection of securities on the
portfolio's performance when compared to the performance of a benchmark over a
specified time period.

The total value of your account.

Benchmark

The time period during which the Max Drawdown (largest cumulative percentage
decline in the NAV) occurred.

A standard against which the performance of your portfolio can be measured.

Calmar Ratio

Peak-to-Valley

Period Return

A ratio used to determine return versus drawdown risk.

A performance measure that calculates the return you have received over a period of
time.

Contribution To Return

Positive Periods

The percent contribution of certain portfolio constituents (symbols, sectors) to the
account's overall return.

The number of occurrences of positive performance returns. For example, if you select
a monthly report with 12 months, each month with a positive return would be a
positive occurrence.

Cumulative Return
Geometric linking of single period returns. Cumulative return is presented as a
percentage.

Downside Deviation
The standard deviation for all negative returns in your portfolio in the specific time
period.

Max Drawdown
The largest cumulative percentage decline in the Net Asset Value of your portfolio from
the highest or peak value to the lowest or trough value after the peak.

Mean Return
The average time weighted return of your portfolio for a specified time period.

PortfolioAnalyst

Recovery
The time it took for the NAV of your account to recover from the valley (lowest NAV)
back to the peak (highest NAV).

Sector
A firm's general area of business. Financials, Communications and Energy are all
examples of sectors.

Selection Effect
A percentage that measures the ability to select securities within a sector relative to a
benchmark.

Sharpe Ratio
A ratio that measures the excess return per unit of risk. The ratio is used to characterize
how well the return compensates the account holder for the risk taken.

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