CAGR Calculator
Calculate Compound Annual Growth Rate (CAGR) for your investments
₹1,00,000
₹2,00,000
5 Yr
CAGR
14.87%
Absolute Return
₹1,00,000 (100%)
Annualized Return
₹20,000/year
*CAGR provides a smoothed annual growth rate
Understanding CAGR
CAGR represents the geometric progression ratio that provides a constant rate of return over the time period. It smooths out volatility and gives you a clearer picture of investment performance.
CAGR Interpretation Tips
- CAGR assumes a steady growth rate and smooths out volatility
- Compare CAGR with relevant benchmarks (e.g., market indices)
- Consider the investment timeframe when interpreting CAGR
- Use CAGR alongside other metrics for a complete analysis
- Remember that past performance doesn't guarantee future returns