Category Archives: financial modelling

Average Internal Rate of Return

Average Internal Rate of Return (AIRR)

An introduction by F1F9: We were approached by Thierry Renard and Carlo Alberto Magni and were intrigued by what they had to say: a new approach to calculating an internal rate of return. What's more, they were illustrating the application of the Average Internal Rate of Return ("AIRR") using Excel...
How to use flags in financial models

Put out more flags

Every forecast model we build in F1F9 has a Time sheet: a worksheet dedicated to important dates e.g. when the model starts, when the model ends, when the project starts, when the project ends, when the project moves from one phase to another. The Time sheet is a foundation sheet: bringing together...

Using F11 quick charts

Most financial modellers create graphs to visualise data or to check trends. While building models, a good modeller will keep asking themselves whether their results are looking sensible. A good financial modeller will regularly chart line items and analyse the resulting trends - even while they...