Subperiod return

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Subperiod return

The return of a portfolio over a shorter period of time than the evaluation period.

Subperiod Return

The return on an investment or portfolio over a period of time shorter than the money manager's designated evaluation period. The evaluation period is a time during which a return is measured to evaluate the money manager's performance. A subperiod return can be useful because some money managers make excessively risky or losing investments until the end of the evaluation period, at which time he/she makes a series of "sure deal" investments to increase the return. Looking at subperiod returns helps to discount this possibility when evaluating the money manager.