I apologize in advance for this very basic question. I'm pretty new to investing and want to make sure that I'm understanding Vanguard's performance data correctly.
Here's what's showing on the Vanguard website for Wellesley for 2008:
1 year returns before taxes: -9.84%
1 year returns after taxes on distribs. & sale of fund shares: -5.77%
SEC yield: 5.78%
Share price at beginning of year: 21.09
Share price at end of year: 18.49
What I take this to mean is that if I invested $100 in Wellesley on the first of the year, and reinvested all dividends, I would currently be down by $9.84. That number should be the sum of what I've lost in share price (12.3% or $12.30) and what I've gained in dividends ($5.78). So why don't these numbers add up? This is why I think I'm misunderstanding something.
Any light that you could shed on this would be SO appreciated.
Here's what's showing on the Vanguard website for Wellesley for 2008:
1 year returns before taxes: -9.84%
1 year returns after taxes on distribs. & sale of fund shares: -5.77%
SEC yield: 5.78%
Share price at beginning of year: 21.09
Share price at end of year: 18.49
What I take this to mean is that if I invested $100 in Wellesley on the first of the year, and reinvested all dividends, I would currently be down by $9.84. That number should be the sum of what I've lost in share price (12.3% or $12.30) and what I've gained in dividends ($5.78). So why don't these numbers add up? This is why I think I'm misunderstanding something.
Any light that you could shed on this would be SO appreciated.