CAGR Calculator – Annualized Growth Rate

Measure long-term performance using Compound Annual Growth Rate (CAGR). Enter start value, end value, and time period to get the annualized return, total return, and a smooth year-by-year growth curve.

Validated Inputs
Instant Updates
Growth Chart
CAGR (Annualized)
0.00%

Growth Curve (Smoothed)

This chart shows the implied year-end value path if the investment grew at a constant CAGR from start to end.

Related Tools

ROI Calculator SIP Calculator FD Calculator Inflation Calculator Goal Planner

Calculate CAGR

Use start value, end value, and time period. Optionally include additional contributions/withdrawals to estimate an IRR (XIRR-style) comparison.

₹1.0L
The portfolio/investment value at the beginning of the measurement period.
₹2.5L
The portfolio/investment value at the end of the measurement period (after gains/losses).
5.00Y
Use decimals for partial years (e.g., 2.75). For months, you can enter months/12 (e.g., 18 months → 1.5 years).
CAGR assumes a single start value and a single end value. If you add contributions/withdrawals in between, CAGR can be misleading—use the cash-flow comparison.
Total Return
0.00%
Value Change
₹0
CAGR (Annualized)
0.00%
Start Value ₹0
End Value ₹0
Value Change ₹0
Total Return 0.00%
Period 0.00 years

Smart Tips

CAGR is best for comparing investments over different time horizons because it annualizes growth into a single rate.
If you added money during the period (SIP/top-ups), CAGR can understate or overstate performance—use IRR/XIRR methods.
A high CAGR over a short window can be less reliable; check longer periods and multiple market cycles.
Use inflation-adjusted returns for real purchasing power comparisons (nominal CAGR − inflation is a rough estimate).
For volatile assets, pair CAGR with drawdown/volatility metrics—same CAGR can hide very different risk.

Growth Curve

Same growth curve optimized for mobile viewing.

How to Use CAGR Calculator?

1

Select Currency

Choose INR, USD, or GBP from the header (or the mobile menu). This changes formatting for all values.

2

Enter Start & End Value

Provide the investment/portfolio value at the beginning and end of the period.

3

Set the Time Period

Enter years (including decimals for partial years) to compute the annualized growth rate.

4

Review CAGR + Chart

Analyze CAGR, total return, value change, and the implied year-by-year growth curve.

Understanding CAGR Calculation

What is CAGR?

CAGR (Compound Annual Growth Rate) is the constant annual rate that would take an investment from its starting value to its ending value over a given time period, assuming compounding. It helps compare performance across investments with different time spans.

How is CAGR Calculated?

CAGR is computed from start value, end value, and the number of years. It ignores the path (volatility) in between and assumes a smooth compounded rate.

Core Formula

CAGR = (End / Start)1/Years − 1

Factors Affecting CAGR

Uses & Benefits

Compare investments fairly

CAGR annualizes performance so you can compare assets across different durations.

Goal & performance tracking

Track whether a portfolio is compounding at the target pace needed for long-term goals.

Communicate growth clearly

Provide stakeholders a simple, standardized annual rate rather than raw value changes.

Sanity-check projections

Convert a start/end forecast into an implied annual rate to assess realism.

Frequently Asked Questions

Can CAGR be negative?
Yes. If the ending value is lower than the starting value, CAGR will be negative, indicating an annualized loss over the period.
Does CAGR reflect volatility (ups and downs)?
No. CAGR assumes a smooth compounded growth path. Two investments can have the same CAGR while experiencing very different volatility and drawdowns.
What if I invested monthly (SIP) or added money during the period?
CAGR alone can be misleading when there are intermediate cash flows. Use IRR/XIRR (money-weighted return). This tool includes an optional simplified IRR approximation for quick comparison, but a full transaction-based XIRR requires dated cash flows.
Why does the chart show a smooth curve?
The chart displays the implied year-end values if growth occurred at a constant CAGR. It is a visualization of the annualized rate, not the actual market path.
Does currency selection convert values using exchange rates?
No. Currency selection changes only the display formatting (symbol and number formatting). If you need FX conversion, convert your values before entering them.

Explore More Financial Tools

Build smarter financial clarity with fast, accurate calculators.

ROI Calculator SIP Calculator Inflation Calculator Goal Planner View All

Trust & Notes

Privacy Friendly

All calculations run locally in your browser.

Transparent Math

Uses standard CAGR formula and deterministic projections.

Input Validation

Guards against invalid years and non-positive starts.

For Estimation

Not financial advice; results depend on accurate inputs.

Disclaimer: This CAGR calculator provides an annualized growth rate estimate based on start value, end value, and a time period in years. CAGR does not capture volatility, interim cash flows, fees, taxes, dividends, or timing effects. If your investment involves multiple contributions/withdrawals, use IRR/XIRR with dated transactions for precise money-weighted returns. This tool is informational and does not constitute financial, tax, or legal advice.