BVI method
The BVI method is a method for calculating the performance of investment funds and was developed by the BVI Federal Association of Investment and Asset Management .
All costs at fund level, i.e. management or custodian bank fees, are taken into account. The individual costs of the individual investor, for example their individual custody fees or the front-end load , are not included in the calculation, as these differ from bank to bank or from fund company to fund company. Thus, the calculation according to the BVI method only reflects the performance of the investments held by the fund minus the costs incurred. As part of the performance at the level of the individual investor, the additional costs incurred at this level must therefore be taken into account.
With the BVI method, the unit values of a fund are compared at the beginning and the end of the calculation period. A one-time investment is assumed. In addition, the distributions made in the meantime are also included in the calculation. In order to compare distribution and wiederanlegende funds together, it is assumed that the release on the same day back at the unit value (also asset value or redemption price called) is created.