Input type
Portfolio Return Analyser
XIRR calculator for real portfolio returns
Add multiple investment (negative) and redemption (positive) cash flows with their dates. Get your actual annualised return rate using the XIRR method.
Multiple cash flows
Date-based calculation
Actual annualised return
Best for
Real portfolio analysis
Output
XIRR %
Enter cash flows
Enter investments as negative (−) amounts and redemptions/current value as positive (+) amounts.
How to use
- Enter each SIP instalment as a negative amount with its investment date.
- Enter current portfolio value (or redemption) as a positive amount with today's date.
- Minimum 2 cash flows required (one negative, one positive).
XIRR Calculator India – Detailed Guide
XIRR (Extended Internal Rate of Return) computes the true annualised return of an investment when cash flows happen on irregular dates — as they do in SIPs, STPs, partial redemptions, and dividend reinvestments. Unlike CAGR, which assumes a single entry and exit, XIRR accounts for the exact date and size of every transaction.
XIRR vs CAGR — when each applies
CAGR requires just two data points: the beginning value, the ending value, and the time between them. It breaks down the moment there are multiple cash flows, because it cannot distinguish between investing ₹1 lakh in year 1 versus investing the same amount spread over 10 years.
- Use CAGR for pure lumpsum investments with one entry and one exit, or for index-level historical performance comparisons published in fund fact sheets.
- Use XIRR for SIP portfolios, portfolios with top-ups or partial redemptions, mutual fund statements where multiple transactions are listed, and any multi-investment scenario where timing differences matter.
XIRR solves for the rate r that makes the net present value of all cash flows equal to zero, iterating numerically (Newton-Raphson method) because no closed-form algebraic solution exists.
Cash flow sign convention and date accuracy
XIRR accuracy depends entirely on correct sign and date entry:
- Investments (outflows): Enter as negative amounts — cash leaving your bank account to buy units.
- Redemptions and current value (inflows): Enter as positive amounts — cash received from the fund, or the present market value as a hypothetical final redemption.
- Current portfolio value: If you have not yet redeemed, add today's date and the current market value as a positive entry. This converts an open portfolio to a closed cash-flow series that XIRR can solve.
- Date accuracy matters: Entering the wrong transaction date — even by a few months — shifts the holding period and can change XIRR by 1–2 percentage points. Use actual statement dates, not approximate ones.
Interpreting positive, low, and negative XIRR
The XIRR output is an annualised rate. Contextual benchmarks for Indian investors:
- XIRR > 12%: For an equity SIP over 10+ years, this is generally strong performance. Compare with the BSE Sensex or Nifty 50 CAGR over the same period as a benchmark.
- XIRR 8–12%: Reasonable for well-diversified equity portfolios or balanced funds, especially over volatile periods.
- XIRR 5–8%: Typical for debt-heavy portfolios; compare with equivalent-duration fixed income returns.
- XIRR < 0: The portfolio has lost money in annualised terms. This can happen in short holding periods during bear markets — a negative XIRR does not necessarily mean the fund is poor quality; it may reflect bad timing or an unusually short measurement window.
Compare your XIRR with the fund's official rolling-return data for the same period, not just with point-to-point NAV appreciation, for a fair assessment.
XIRR Calculator – FAQs
What is XIRR and why is it better than CAGR for SIPs?
XIRR computes the annualised return that accounts for the exact date and amount of every transaction. CAGR only handles a single investment and single redemption. For a SIP with monthly investments over several years, CAGR would require guessing an effective single entry date, introducing large errors. XIRR handles the irregular timing correctly, making it the standard metric for SIP portfolio performance.
Why do I enter investments as negative amounts?
XIRR follows the cash-flow sign convention: money leaving your account is negative (investment), money arriving in your account is positive (redemption or current value). This mirrors how spreadsheet functions like Excel's XIRR work — consistent sign usage is what allows the algorithm to correctly solve for the internal rate of return.
How do I calculate XIRR on an open (unredeemed) SIP?
Add one final row with today's date and the current portfolio value as a positive number. This represents a hypothetical "redemption today" that closes the cash-flow series. The XIRR result then shows the return you would have earned if you exited at the current NAV — useful for monitoring live performance without actually redeeming.
Does a wrong transaction date affect XIRR significantly?
Yes, materially. XIRR is sensitive to the exact holding period of each cash flow. An error of a few months on a large transaction can shift the result by 1–2 percentage points. Always use actual transaction dates from your fund statement or Consolidated Account Statement (CAS) rather than approximate dates.
What does a negative XIRR mean?
A negative XIRR means the portfolio has lost money on an annualised basis — total withdrawals and current value are less than total investments when discounted to the same date. This often happens in short holding periods during bear markets and does not necessarily indicate poor fund quality. If a long-horizon SIP still shows negative XIRR, it warrants a closer look at fund performance and strategy.
What is a good XIRR for an equity SIP in India?
For a diversified equity SIP over 10+ years, XIRR above 12% is generally considered strong. XIRR in the 8–12% range is reasonable for balanced or volatile periods. Compare your XIRR with the fund's benchmark index CAGR and the fund's own published rolling returns for the same period — not just the headline since-inception return.