I have finished my portfolio review for the year and I want to compare it against the Index. I decided on a hypothetical scenario of buying 1 lot of STI ETF on 11 December 2006 (my first stock purchase). I will also include the dividends (source: SPDR website) in my XIRR calculation.
Over a 9 year period my XIRR is just 2.99%. That could not be right.
The performance chart also shows an annualized return of 3.07% with dividends. I am not sure how cumulative returns is calculated.
It would mean that anyone who buy a high yielding REIT would have easily beaten the index. In fact a retail bond or Fix Deposits with 3% or more would have also beaten the index.
I still think that I could have made a mistake in my calculation. Any sharp eye investor can point it out?
Update: 30 Dec 2015
Added 10 year XIRR calculation as of 31 October 2015 to compare against the 10 year NAV from SPDR® Straits Times Index ETF (ES3) performance chart.
6.99% XIRR is almost similar to 6.28% NAV.