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The annualised rate of return (ARR) is geometric, time-weighted, and calculated by compounding index-level period returns. The measure gives an equal weight to each period. ARR_{n} is reported in various horizons: current quarter, 1 year, 3 years, 5 years, 10 years, and rate since inception of the index.

ARR_{n} = [(1+TR_{1}) \times (1+TR_{2}) \times ... \times (1+TR_{n}) ]^{\frac{1}{n}} - 1


where:

ARR_{n} is the annualised rate of return for a given period of time n.
TR_{n} denotes the quarterly Total Investment Return of the index.
n denotes the given time period. 

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