DEFINITION of 'Estimated LongTerm Return'
A unit investment trust's estimated return over the life of the portfolio, calculated according to formulas proposed by the Securities and Exchange Commission (SEC). The return is calculated as the annual percentage return based on the yields of all the underlying securities in the portfolio, but is weighted to account for each security's market value and maturity. The return is presented net of estimated fees and the maximum offering price, but does not account for delays in income distributions from the fund.
BREAKING DOWN 'Estimated LongTerm Return'
When looking to invest in a unit investment trust, you will be shown both the estimated longterm return and estimated current return. The estimated longterm return may be the metric that you should look at if you are planning on investing for the duration of the trust. This will give a fairly accurate estimation of the return on the portfolio. It is similar to the yield to maturity measure of a single bond extended to a portfolio, with some adjustments.

Estimated Current Return
The estimated return for a unit investment trust over the short ... 
Portfolio Return
The monetary return experienced by a holder of a portfolio. Portfolio ... 
Mean Return
1. In securities analysis, it is the expected value, or mean, ... 
Portfolio Weight
The percentage composition of a particular holding in a portfolio. ... 
Abnormal Return
A term used to describe the returns generated by a given security ... 
Return
The gain or loss of a security in a particular period. The return ...

Professionals
Rates of Return
FINRA/NASAA Series 66 Section 1  Rates of Return. In this section internal rate of return (IRR), real return, expected return and riskadjusted return. 
Professionals
Introduction
FINRA/NASAA Series 66: Section 2 Measuring Portfolio Returns. This section discusses different return measures: return on investment, holding period, annualized, risk free and total returns. 
Professionals
Measuring Portfolio Returns
NASAA Series 65: Section 16 Measuring Portfolio Returns. In this section different types of risk measures discussed and some sample questions. 
Investing Basics
How to Calculate Risk Premium
Think of a risk premium as a form of hazard pay for risky investments. 
Investing
Calculating The Means
Learn more about the different ways you can calculate your portfolio's average return. 
Fundamental Analysis
Explaining Expected Return
The expected return is a tool used to determine whether or not an investment has a positive or negative average net outcome. 
Investing Basics
3 Steps to Assess Your Portfolio's Annual Performance
Learn about three simple steps you can use to evaluate the annual performance of your investment portfolio, and why rate of return isn't enough. 
Professionals
Other Terms
FINRA/NASAA Series 66: Section 2 Other Terms. This section discusses measures of portfolio return: risk premium, expected return and benchmark portfolios. 
Professionals
Rates of Return  Internal Rate of Return
FINRA/NASAA Series 65  Rates of Return  Internal Rate of Return. In this section Internal rate of return, real return, riskadjusted return, beta and total return. 
Return Concepts for Equity Valuation
The candidate should be able to: distinguish among realized holding period return, expected holding period return, required return, return from convergence of price to intrinsic value, discount ...

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