The platform takes the investor’s current holdings, calculates the monthly historical returns for each holding using the holding’s actual historical performance data (if available) going back 15 years. If the data is not available, Jemstep will match it to one or a blend of broad asset classes (multi-asset class holding such as a global stock fund) and use the returns from those asset classes to fill in missing data.
All historic returns for these holdings are inclusive of the annual fees (such as the total annual expense ratio). The platform calculates historical performance on the investor’s current portfolio holdings since it can only see what the investor holds today, not what the investor held over the last fifteen years. The platform can't assume how long the investor may have been investing or how their holdings may have changed over the past 15 years.
Disclaimers and calculation methodology relating to the hypothetical back-test performance chart are included on the platform and require sign-off and approval by the firm.