Perf YTD
Year-to-date return
💡 What is Perf YTD (Year-to-Date Return)? - Your Investment Report Card This Year
Perf YTD stands for Performance Year to Date, also called year-to-date return or cumulative return this year. It is a metric that shows, as a percentage (%), how much the stock price has gone up (or down) from the closing price on January 1 (or the first trading day) of the year to today. Think of it like your cumulative grade from the start of this school semester until now.
English-Korean Keyword Glossary
YTD (Year to Date, since the beginning of the year) | Year-to-Date Return (return since the beginning of the year) | Calendar Year Return (annual return based on the calendar) | Annual Performance (yearly performance) | Benchmark (benchmark) | Alpha (alpha, excess return) | Market Rally (market rally) | Year-end Window Dressing (year-end window dressing effect) | Tax-loss Harvesting (realizing losses for tax purposes)
YTD return is one of the most widely used performance measurement periods in the investment market. Fund managers, financial advisors, and financial media all evaluate and compare performance based on YTD return. The advantage is that since everyone starts from the same starting line on January 1, you can compare any stock, ETF, or fund on the same basis.
For example, if Apple (AAPL)'s Perf YTD is +12.5%, it means the current stock price is 12.5% higher than it was on January 1 of this year. If you had invested 10 million won at the start of the year, you would have about 11.25 million won now. One thing to note is that YTD is limited to the calendar period of "this year." If you check it in January, it only covers a few days of returns, but if you check it in December, it covers almost a full year of returns.
📅 What It Means to Compare Returns Across Different Periods
YTD vs. 1-Month and 3-Month Returns
If YTD is good but the last 1–3 months are weak, it means the stock performed well in the early part of the year but has been losing momentum recently. On the other hand, if YTD is weak but the last 1–3 months are strong, it means it was weak at the beginning of the year but has been rebounding recently. For example, Meta (META) had a sharply negative YTD after a steep drop in early 2022, but then staged a strong rebound in the second half and finished the year in positive territory.
YTD vs. Previous Year's Return
Comparing this year's YTD with last year's full-year return helps you judge the continuity of a trend. If last year was +50% and this year's YTD is also +20%, the uptrend is continuing. If last year was +50% but this year's YTD is -15%, last year's overheating may be correcting. The assumption that "because it did well last year, it will do well this year too" is risky.
Comparison with S&P 500 YTD
Comparing an individual stock's YTD with the S&P 500 (SPY) YTD lets you measure outperformance versus the market (Alpha). For example, if SPY YTD is +10% but your stock is +25%, it has performed 15 percentage points better than the market this year. Conversely, if SPY is +10% but your stock is +3%, you would have been better off just investing in SPY.
📊 How to Interpret YTD Returns
Bullish: YTD +20% or more
This indicates very strong performance this year. Since it has achieved more than double the market average (S&P 500 annual return is roughly +10%), it signals that the stock has very strong momentum. An extreme example is Nvidia (NVDA), which recorded YTD returns of over +200% on the AI rally. However, since it has already risen a lot, you should check for valuation overheating.
Healthy: YTD +5% to +20%
This is a healthy level of performance that meets or exceeds the market average. Most large-cap blue-chip stocks fall within this range during bull markets. Microsoft (MSFT), Amazon (AMZN), and JPMorgan (JPM) often record stable YTD returns within this range.
Flat: YTD -5% to +5%
The stock has been moving in place without major change so far this year. If the market is rising but this stock is flat, it is relatively underperforming; if the market is also flat, then the stock is just moving with the market.
Bearish: YTD -10% or lower
The stock has recorded a significant decline so far this year. It is important to distinguish whether the whole market is weak or whether it is an issue specific to this stock. In years like 2022, when interest rate hikes dragged the whole market down, most stocks recorded negative YTDs. However, if the market is up and only a particular stock is at -10% or lower, there may be company-specific issues.
🔄 Combining YTD With Other Return Metrics
YTD + Sector YTD Comparison
Comparing an individual stock's YTD with the average YTD of its sector helps you assess the value of your stock picking. If the tech sector YTD is +15% but your tech stock is +25%, you made a good pick; if it is +5%, you would have been better off investing in the sector ETF (XLK).
YTD and Dividends
For high-dividend stocks, the total return can be high even if the YTD price return is low, once dividends are included. For example, if the YTD price return is +3% but you have received a 4% annual dividend (about 2–3% on a YTD basis), the total return is around +6%. When evaluating dividend stocks, always compare total return including dividends.
Year-end Tax Strategy and YTD
YTD return is directly relevant to year-end tax strategy. Stocks with a strongly positive YTD will generate taxes if profits are realized, while stocks with a negative YTD can be sold to lock in losses and reduce taxes (Tax-loss Harvesting). A common strategy is to sell YTD-negative stocks in November–December to lock in losses, then buy them back 30 days later.
🎯 Practical Applications
Annual Portfolio Performance Review
At year-end, check the YTD of all your holdings and compare the weighted average YTD of the whole portfolio with SPY. If you beat SPY, your stock picking was successful this year; if you didn't, you need to reconsider your strategy. Keep in mind that statistics show most professional fund managers fail to beat SPY over the long term.
Market Overview with the Finviz Heatmap
If you select "YTD Performance" on the Finviz heatmap, you can see the year-to-date performance of all S&P 500 stocks at a glance. It is very useful for intuitively understanding which sectors were strong or weak this year and which stocks were the winners and losers. Checking it regularly (about once a month) helps you keep a continuous handle on market trends.
Year-end Tax Planning
In October–November, review your YTD-negative holdings to lock in losses (Tax-loss Harvesting) and offset them against realized gains to reduce taxes. Even Korean investors are subject to U.S. capital gains tax calculated on an annual basis, so managing gains and losses at year-end is effective for saving on taxes.
⚠️ Cautions
1. Meaning changes with timing: YTD in January only covers a few days of returns, so its meaning is limited, while YTD in December reflects almost a full year of performance. When looking at YTD, always consider the current date (how far into the year we are).
2. Limits of the calendar effect: YTD uses the arbitrary starting point of January 1. If there were large moves on December 31, YTD can be significantly distorted. Looking at it alongside the trailing 12-month return gives a more accurate picture.
3. January Effect: Historically, small caps have tended to outperform large caps in January, because year-end tax selling is followed by repurchases in early January. As a result, January YTD may not be representative of the full-year trend.
4. Dividends not included: YTD return only reflects price changes and does not include dividends. For high-dividend stocks, the actual YTD total return is higher than what is displayed.
5. Past YTD does not predict the future: There is no guarantee that a stock with YTD +50% this year will keep rising at the same pace for the rest of the year. In fact, since it has already risen a lot, a correction could be coming.
✅ Checklist
☑ Have you compared the YTD return with the S&P 500 (SPY)?
☑ Have you compared it with the average YTD of the same sector?
☑ Have you calculated the total return including dividends?
☑ Have you compared it with the recent 1-month and 3-month returns to analyze the trend?
☑ Have you compared it with last year's annual return to confirm trend continuation?
☑ Have you taken into account the current date (how far into the year we are)?
☑ Have you used YTD in your year-end tax strategy (Tax-loss Harvesting)?
☑ Have you identified the cause of YTD swings (earnings, interest rates, industry trends)?
❓ Frequently Asked Questions (FAQ)
Q. Should I keep investing even in years when YTD is negative?
A. For long-term investors, continuing to invest even in years with a negative YTD is usually the right decision. Historically, the S&P 500 has had a negative annual return about 25% of the time (1 out of 4 years), but it has often rebounded the following year. Especially if you are doing dollar-cost averaging (DCA), buying more shares at lower prices during downturns is actually beneficial for long-term returns. However, if an individual stock is falling due to company-specific problems, you should reconsider holding it.
Q. If I buy stocks with high YTD at year-end, will they keep rising next year?
A. Studies show that due to the momentum effect, stocks with strong performance this year tend to keep rising early next year (the year-end momentum effect). But this is only a statistical tendency and not a guarantee. In particular, stocks with extremely high YTD (+100% or more) often already have high valuations and may correct in the following year. When buying stocks at year-end, focus on "whether it can grow going forward" rather than "how much it rose this year."
Q. What is the historical average annual return of the S&P 500?
A. The historical average annual return of the S&P 500 is about 10–11% including dividends (about 7–8% excluding dividends). However, this does not mean it has gone up by 10% every year. In reality, years of +30% and years of -20% alternate, averaging out to the 10% range. The last 10 years (2014–2024) recorded an above-average 14–15% per year, benefiting from tech stock growth and low interest rates. Therefore, if YTD is +10% or more, it can be considered a good year above the historical average.
Q. Considering exchange rate fluctuations, what is the actual YTD for Korean investors?
A. The YTD in KRW for Korean investors is the sum of the USD return and the exchange rate change. For example, if a U.S. stock has YTD +15% and the exchange rate has moved +5% this year (weaker won), the KRW-based YTD is about +20%. Conversely, if the exchange rate has moved -5% (stronger won), the KRW YTD is about +10%. Comparing the exchange rate at the start of the year with the current rate lets you gauge how much the exchange rate has affected your returns. The KRW/USD exchange rate can fluctuate significantly during the year, so always calculate the KRW-based return as well.
🇰🇷 Notes for Korean Investors
Aligned with the tax year: Korea's capital gains tax is calculated from January 1 to December 31. Therefore, YTD return is directly related to this year's tax calculation. As year-end approaches, check your realized gains on a YTD basis and plan your taxes using the 2.5 million won basic exemption.
Compare with KOSPI YTD: Comparing the YTD of your U.S. stock portfolio with the KOSPI index YTD lets you objectively judge the effect of overseas investing. In recent years, the S&P 500 has significantly outperformed KOSPI, but this is not always the case.
Using Finviz: You can use the "Perf YTD" filter in Finviz Screener to search for stocks within your desired YTD range. Selecting "Year-to-Date Performance" on the Finviz heatmap lets you visually grasp the market's year-to-date performance at a glance.
Annual Investment Review: Do a comprehensive review of your investments every year in late December: (1) Portfolio-wide YTD vs. SPY (2) Analysis of best and worst performing stocks (3) Tax planning check (4) Setting next year's investment strategy. This annual review habit will steadily improve your investing skills. Recording what you did well and what to improve can help you avoid repeating the same mistakes next year.