gains_rate {stocks}

Calculate Growth Rate From a Vector of Gains

Description

The formula is simply: prod(gains + 1) - 1. If units.rate is specified, then it converts to x-unit growth rate.

Usage

gains_rate(gains, units.rate = NULL)

Arguments

gains

Numeric matrix with 1 column of gains for each investment (can be a vector if there is only one).

units.rate

Numeric value specifying the number of units for growth rate calculation, if you want something other than total growth. For annualized growth rate, set to 252 if gains has daily gains, 12 if gains has monthly gains, etc.

Value

Numeric value if gains is a vector, numeric matrix if gains is a matrix.

Examples

# Create vector of daily gains for a hypothetical stock
daily.gains <- c(-0.02, -0.01, 0.01, 0.02, 0.01)

# Overall growth is 0.95%
gains_rate(daily.gains)

# Average daily growth is 0.19%
gains_rate(daily.gains, 1)

# Corresponds to 61.0% annual growth
gains_rate(daily.gains, 252)