Growth Rate Analyser

CAGR calculator for investment growth

Enter initial investment value, final value, and number of years to calculate the Compound Annual Growth Rate (CAGR) and absolute return.

CAGR computation Absolute return Profit / loss

Input type

Initial + final value

Best for

Performance analysis

Output

CAGR %

Enter investment values

Provide the initial value, final value, and duration in years.

Before you calculate

Initial value is the amount you invested or the starting NAV/price.
Final value is the current or redemption value.
Duration can be fractional (e.g., 2.5 for 2.5 years).

CAGR Calculator India – Detailed Guide

CAGR (Compound Annual Growth Rate) compresses an investment's multi-year journey into a single, easy-to-compare annualised return number. This calculator helps you understand how fast your investment has effectively grown per year.

Understanding the CAGR formula

The standard CAGR formula is:

CAGR = (Final Value / Initial Value)^{1 / n} − 1

Initial Value: The amount you invested at the start.
Final Value: The value of your investment at the end.
n: The number of years (can be fractional).

CAGR vs absolute return

Absolute return simply tells you the total percentage gain or loss over the entire period. CAGR spreads that return evenly across years to give a per-year figure, making it better for comparing investments held for different durations.

Use absolute return to see total gain or loss on an investment.
Use CAGR to compare performance across funds or asset classes over different time periods.

When to use CAGR vs XIRR

CAGR assumes a single lumpsum investment at the beginning and a single value at the end. If you have multiple cash flows (like SIPs or partial redemptions), XIRR is more accurate.

Use this CAGR calculator for lumpsum investments or index level comparisons.
Use an XIRR calculator when you invest or withdraw money at multiple points in time.

Using this CAGR calculator

Enter initial value, final value, and holding period. The tool will compute both absolute return and CAGR so you can see the total and annualised growth.

Check if your investment has beaten inflation and fixed deposit rates.
Compare your portfolio CAGR to benchmark indices over the same period.
Use long-term (5–10 year) CAGR to judge equity performance, not short-term moves.