Compound annual growth rate is the steady yearly rate that would take your start value to your end value. It lets you compare investments held for different lengths of time.

Why is the annual rate lower than the total return?

Total return is the whole gain over the period; the annualized rate spreads that gain across each year, accounting for compounding. A 100% total return over ten years is about 7% a year.

What counts as a good annual return?

It depends on the risk taken. Broad stock market returns have averaged roughly 7% a year after inflation over the long run, while cash and bonds return less. Compare any single investment against a sensible benchmark.

Investment Return Calculator

Turn a start value and an end value into a clear picture of your return: total profit, total percentage and the annualized rate.

Turn a start value and an end value into a clear return. Enter what you put in, what it is worth now and how long you held it to see the profit, the total percentage return and the annualized rate (CAGR).

Read the guide: How to Measure Your Real Investment Return

The investment

Amount invested$Value now (or at sale)$Held foryears

Annualized return (CAGR)

10.29%

Gain of $8,000 over 6 years

Total return: 80.00%
Profit: $8,000

CAGR is the smoothed yearly rate that turns the start value into the end value. Past returns don't predict future ones.

How it works

1
Enter the amounts

Add what you invested and what it is worth now or when you sold.
2
Add the holding period

Put in how many years you held the investment.
3
Read the returns

See the profit, total return and the annualized CAGR side by side.

Instant & 100% private — nothing is uploaded

Every calculation runs locally in your browser. The income, balances and goals you enter stay on your own device and are never sent to a server — nothing is stored, logged or shared.

Frequently asked questions

What is CAGR?: Compound annual growth rate is the steady yearly rate that would take your start value to your end value. It lets you compare investments held for different lengths of time.
Why is the annual rate lower than the total return?: Total return is the whole gain over the period; the annualized rate spreads that gain across each year, accounting for compounding. A 100% total return over ten years is about 7% a year.
What counts as a good annual return?: It depends on the risk taken. Broad stock market returns have averaged roughly 7% a year after inflation over the long run, while cash and bonds return less. Compare any single investment against a sensible benchmark.

Important

For information and planning only — not financial, tax or legal advice. These figures are estimates; rates, fees and rules vary, so confirm anything that affects a real decision with a qualified professional or the official source.

IBAN ValidatorCheck an IBAN and see the bank code, account number and BIC.IBAN CalculatorBuild a valid IBAN from a country, bank code and account number.IBAN GeneratorGenerate random valid example IBANs for testing and demos.Account Number CheckerValidate a German account number's check digit.BIC / Bank Code FinderLook up a German BIC from a bank code or bank name.Mortgage CalculatorMonthly payment with taxes, insurance and a full amortization schedule.

More from the Hivly network

Free sister tools on our other sites.

Length ConverterMetres, feet, miles, inches, km and more, instantly.Scientific CalculatorPowers, roots, trig, logs, memory and history.Age CalculatorExact age in years, months and days, plus your next birthday.

How it works

Enter the amounts

Add the holding period

Read the returns

Instant & 100% private — nothing is uploaded

Frequently asked questions

Important

More tools

More from the Hivly network