How to calculate the conversion rate and return on investment

1. conversion rate, different companies have different data models, and the most common one is the actual number of investors/(number of registered customers-number of mysterious customers) = actual investment conversion rate.

Actual number of borrowers/(registered number-mysterious borrower) = actual loan conversion rate.

Of course, there are a bunch of dimensions such as the proportion of monthly investment, the growth of net value in the same period, the proportion of large households, the proportion of retail investors, and the efficiency of full bidding.

2. Return on investment. Returnoninvestment) refers to the percentage of normal annual profit or average annual profit in the total investment during the production period. The calculation formula is: return on investment (ROI)= annual profit or average annual profit/total investment × 100%.

Principal * annual interest rate /365* investment days = return on investment.

The advantage of return on investment is simple calculation; The disadvantage is that the time value of funds is not considered, which can not correctly reflect the influence of the length of construction period, different investment methods and recycling on the project. The numerator denominator calculation caliber is not comparable, so the net cash flow information cannot be directly used. Only investment projects with investment profit rate index greater than or equal to risk-free investment profit rate are financially feasible.

Specific returns may include interest rate coupons, cash back red packets, phone bills and other returns.