Modified Dietz/Excel Searchers: As much as we like and use Excel, Excel and XIRR will calculate Modified Dietz correctly for only the most basic of performance calculation situations; MV1, single Contribution or Withdrawal, MV2 analysis range. Beyond this simple example, Excel and XIRR performance calculations begin to break down; the more the cash flows, accruals, and one type of advisor fee, the worse the performance calculation. The addition of the 2010 GIPS compliant large cash flows geometric linking performance calculation methodology requirement eliminates Excel and XIRR as a performance calculation option.

It is for these reasons that we created and continuously update and upgrade PerfCalc; Excel for ease and speed of data entry and PerfCalc (also with a direct data entry option) for correct and compliant investment portfolio performance calculation methodologies for all situations. mhj3.com

The YouTube video further explains and confirms our own conclusions regarding Excel and XIRR:

Excel XIRR Function

Because the Excel XIRR function is an iterative technique, XIRR:

"Can't find the solution."

"Finds a different/the wrong solutions."

"Finds bizarre solutions."

"Frequently returns unreliable results."

"I hope nobody is really using this for financial calculations."

WesttClin Tech YouTube Presentation