CAGR Calculator
Calculate the true Compound Annual Growth Rate (CAGR) of your investments and track geometric growth over time.
Investment Parameters
Enter the values to calculate the CAGR.
Your starting capital or investment amount.
The final value of your investment.
Number of years the money was invested.
Geometric Growth Simulator
Visualizing smooth compounded growth from initial to final value.
CAGR Return
Per annum over 5 years
Abs. Return
+150.0%
Total Gain
+₹15,000
Investment vs Yield
Yearly Projection (at 20.11%)
| Year | Initial Invested | Cumulative Gain | Total Value |
|---|---|---|---|
| 1 | ₹10,000 | +₹2,011 | ₹12,011 |
| 2 | ₹10,000 | +₹4,427 | ₹14,427 |
| 3 | ₹10,000 | +₹7,329 | ₹17,329 |
| 4 | ₹10,000 | +₹10,814 | ₹20,814 |
| 5 | ₹10,000 | +₹15,000 | ₹25,000 |
Want to know the true annual growth rate of your investment? Our CAGR calculator helps you figure out the exact Compound Annual Growth Rate of your portfolio with beautiful, interactive charts.
What is Compound Annual Growth Rate (CAGR)?
CAGR stands for Compound Annual Growth Rate. It is a measure used to calculate the mean annual growth rate of an investment over a specified period of time longer than one year, assuming that profits were reinvested at the end of each year.
Why Use Utilo's CAGR Calculator?
- ✓Instant, real-time CAGR calculation
- ✓Visual Donut Chart for Investment vs Returns Breakdown
- ✓Growth Area Chart to visualize growth over time
- ✓Detailed Yearly Breakdown Table
- ✓Fast presets for common values
- ✓Free, private, and works directly in your browser
Key Features
How to Calculate Your CAGR
- 1Enter your Initial Investment Amount.
- 2Enter your Final Investment Value.
- 3Choose your Investment Duration in years.
- 4Your Compound Annual Growth Rate (CAGR) and Total Gain will update instantly.
Formula & Calculation Logic
CAGR = [(Final Value / Initial Value) ^ (1 / Number of Years)] - 1 Where: Final Value = Ending balance of the investment Initial Value = Beginning balance of the investment Number of Years = Time period in years
About This Tool
Unlike absolute returns, which just show the total percentage growth, CAGR smooths out the performance of an investment over time to give you a single standardized annual rate. This makes it the most accurate way to compare the performance of different investments (like mutual funds, stocks, or real estate) over multiple years.
Frequently Asked Questions
What is a good CAGR?
A "good" CAGR depends on the asset class and your risk profile. For equity investments like stocks or mutual funds, a CAGR of 10% to 15% is generally considered good. For safer debt instruments, 6% to 8% is typical.
What is the difference between Absolute Return and CAGR?
Absolute return calculates the total percentage gain or loss over a period (e.g., 50% in 5 years). CAGR calculates the smoothed, annualized rate required to achieve that absolute return (e.g., 8.45% per year for 5 years).
Does CAGR account for volatility?
No, CAGR assumes a steady growth rate every year. It hides the volatility (ups and downs) that happened between the initial and final years.
Can CAGR be negative?
Yes, if your final investment value is lower than your initial investment, your CAGR will be negative, indicating an annualized loss.