Horizon analysis

Horizon analysis

An analysis of returns using total return to assess performance over some investment horizon.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Horizon Analysis

Analysis of the discounted return on an investment over one or more time frames (called horizons) that differ from the investment's actual maturity. For example, one might calculate the yield on a 10-year Treasury bond over its first year or first five years. Horizon analysis is done to see if an investment can or will perform well enough to meet one's investment goals over a given time. See also: Horizon analysis.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
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