Multiple-on-Money (MoM) Formula

AssetView uses multiple on money (MoM), to measure investment performance and compare returns across disparate assets and asset classes. The calculation is: (position value plus distributions)/contributions. The result is a ratio showing how many dollars you have based on each $1 invested. A reasoned assumption is made for the liquidation value of an asset with open positions (e.g. the liquidation share price is set at the share price of the most recently booked transaction on the asset). For an asset, the MoM calculation only includes movements of capital in and out of the asset. For an account, the MoM calculation only includes movements of capital in and out of the account.

Example:

If the current market value for an asset is $80, distributions to date equal $40, and total contributions to date equal $90, then the MoM is: (80+40)/90 = 1.33. For every $1 that you invested, you created value of $1.33.