CAGR Calculator
Calculate the Compound Annual Growth Rate of your investments to measure performance over time
Investment Details
Ready to Calculate
Enter your investment details to calculate the Compound Annual Growth Rate.
How to Use the CAGR Calculator
Enter Initial Investment Value
Start by entering the initial value of your investment when you first purchased it. This is your starting point for calculating the compound annual growth rate.
Enter Final Investment Value
Input the current or final value of your investment. This represents the value at the end of your investment period and will be used to calculate the total growth.
Set Investment Period
Specify the time period between your initial and final investment values. You can choose between years, months, or quarters depending on your investment timeline.
Review CAGR Results
The calculator will show your Compound Annual Growth Rate (CAGR), total return percentage, absolute gain or loss, and a visual representation of your investment growth over time.
Analyze Performance
Use the results to compare different investments, evaluate portfolio performance, and make informed investment decisions. The history feature helps track multiple calculations.
CAGR Investment Tips
CAGR smooths out volatility and provides an annualized return rate, making it ideal for comparing different investments
Use CAGR to evaluate long-term investment performance rather than short-term fluctuations in value
A higher CAGR indicates better investment performance, but always consider risk factors and market conditions
Compare your investment's CAGR with market benchmarks like S&P 500 or relevant index funds
CAGR assumes steady growth - actual returns may vary significantly year to year
Consider inflation when evaluating CAGR - real returns should exceed inflation rates for meaningful growth
Use CAGR to set realistic investment goals and expectations for future portfolio performance
Longer investment periods generally provide more reliable CAGR calculations due to reduced short-term volatility
Don't rely solely on CAGR - consider other metrics like Sharpe ratio, maximum drawdown, and volatility
Regular portfolio reviews using CAGR can help identify underperforming assets and rebalancing opportunities