Reading a Fund Factsheet and Performance Report

Net versus gross returns, benchmark selection and the disclosures that matter.

Net of what?

Confirm whether performance is shown after management fees, performance fees and transaction costs. The gap between gross and net is often the whole decision.

Benchmarks

A strategy should be measured against an investable alternative, not against a hand-picked comparison that flatters the result.

Risk statistics

Look for maximum drawdown, volatility and time to recovery alongside return. Return without a risk measure is an incomplete number.

Key takeaways

• Net of what?: Confirm whether performance is shown after management fees, performance fees and transaction costs.
• Benchmarks: A strategy should be measured against an investable alternative, not against a hand-picked comparison that flatters the result.
• Risk statistics: Look for maximum drawdown, volatility and time to recovery alongside return.

Risk disclosure

This article is educational content published by Vaultero Capital and is not investment advice, a recommendation, or an offer to buy or sell any asset. Digital assets are highly volatile and you may lose some or all of the capital you commit. Projected or historical returns are not a reliable indicator of future performance. Consider your objectives, time horizon and tolerance for loss, and seek independent professional advice where appropriate. Full terms are set out in our risk disclosure.