how to get data from factset to tableau on mac

In contrast, the CAGR shows that the investment generated negative returns over its full time horizon. #How to get data from factset to tableau on mac full One disadvantage of the Compound Annual Growth Rate is that it assumes growth to be constant throughout the investment’s time horizon. This smoothing mechanism may yield results that differ from the actual situation with a highly volatile investment.īuilding on the above example, the CAGR correctly shows the ending value of the investment if a –3% CAGR was applied over a two-year compounding period. However, the CAGR assumes that the investment falls at a constant 3%, when, in fact, it grew by 25% in the first year.Ĭompound Annual Growth Rate can be used as a quick comparison tool between investment options, but any decisions should be made with consideration of the trade-offs between risk and return. #How to get data from factset to tableau on mac fullĭisadvantage: Investor ActionsĪnother disadvantage of the CAGR is that it does not account for the change in value caused by investor decisions to further fund or liquidate the asset.