CAGR (Compound Annual Growth Rate)
CAGR is the single steady yearly rate that would grow an investment from its start value to its end value over a period. It smooths out the ups and downs into one number, which is why it's the fairest way to compare investments held for different lengths of time.
A 50% total return sounds impressive, but over ten years it's only about 4.1% a year — that's the CAGR. Always judge an investment by its annualized (CAGR) return against a benchmark like a low-cost index fund, not by the headline total.
Put it to work
ROI Calculator
Measure the return on any investment: total gain, total return (ROI), and the annualized return (CAGR) that lets you compare deals held for different lengths of time.
Investment Calculator
Project an investment portfolio's growth with monthly contributions — final value, your money vs market growth, and the year-by-year path.
Compound Interest Calculator
See how your savings grow with compound interest and monthly contributions — final balance, interest earned, and a year-by-year growth table.