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This calculator helps you to calculate the compounded annual growth rate (CAGR) of your investment over a given period.

Initial Investment

Future Value Of Investment

Investment Period

years

CAGR or Compounded Annual Growth Rate is used mostly for determining how a particular business is performing in the competitive market. CAGR calculator can easily predict the growth rate of an organization or the lack of it.


You can find many such CAGR calculators online but when it comes to user-friendliness Elearnmarkets CAGR calculator is the best. It helps to accurately calculate your business’ CAGR in an organized way.


How can a CAGR calculator help you?

The CAGR calculator is extremely useful if you own a business or for investors because it precisely measures investment growth (or decline) over time. CAGR is very much unique than ‘absolute returns’ as it predicts growth, taking into account the element of time. This is a more better predictor of growth over a period.

Please note that CAGR is an indicative figure & not a real one. In it’s most basic sense it indicates the exact rate of an investment growth considering that it grows at the same rate & the returns are re-invested.

To determine returns on yearly investment CAGR calculator is very much helpful. Use our CAGR calculator online because it’s completely free & saves your time effortlessly.


The CAGR calculator gives certain results about:

  1. Whether your business is growing exponentially & the profits generated are being invested correctly.
  2. Your organization’s relative growth in respect to the market leaders in your business segment.
  3. Your investment options based on different stocks.

Note: No CAGR calculator in India will give you a data based on investment risk.


CAGR Calculation Formula:


Please find below the CAGR formula to calculate investments :


CAGR = (FV / PV) 1 / n – 1


Based on this mathematical formula you can calculate CAGR easily. The values stand for the following:


FV – Future Value


PV – Present Value


N – Time Period in Years


Let’s understand through a simple CAGR calculation


Suppose you initially invested in a business for Rs 1 Lakh. It constitutes the PV. Now this total investment have swollen to Rs. 10 Lakh (FV) after 5 years(N), then the CAGR is:


(10,00,000/1,00,000)1/5-1 or 0.589


Thus, the CAGR percentage is CAGR * 100 or 58.9%.


How to Use Elearnmarkets CAGR Calculator?


Follow the steps below to use Elearnmarkets Online CAGR Calculator:


  1. Enter your initial value of investment (PV)

  2. Enter your expected value of the investment after a certain period of time

  3. Lastly enter the number of years or months for which you wish to use the CAGR calculator

After all these steps, our CAGR calculator will easily display the result within a few seconds.


Advantages of Elearnmarkets online CAGR Calculator


Our services provide you the following benefits:


  1. Get a hold of a detailed outlook of your ROI.

  2. It enables investors to assess the returns in a variety of scenarios. You can use several test cases to evaluate returns in various scenarios.

  3. Benchmark your business returns against top leaders in niche segment.

  4. Make plans on long-term capital influx.

  5. Avail a trusted & recognized financial education organization and get accurate results.

  6. You can find a wide range of financial calculators on our website. Feel free to use them.

Frequently Asked Questions on CAGR Calculator


Que: Is the CAGR calculator completely free to use?


Ans: Yes, Elearnmarkets CAGR Calculator is completely free to use. You can use it for to calculate CAGR rate as many times you want.


Que: Do I need to login to use the CAGR calculator?


Ans: No, you do not need to login to use the calculator. Anyone can use this calculator.


Que: What is CAGR return?


Ans: It is method to calculate average returns on your investment made in a year.


Que: Does investment risks are reflected through CAGR ?


Ans: No, CAGR doesn’t reflect any investment risk involved.


Que: What is CAGR in banking sector?


Ans: CAGR or Compound Annual Growth Rate shows the actual return from an investment. However, CAGR is most commonly used to gauge return from mutual funds & stocks and not so much for banking. You may consider annual interest earned in banking instead of CAGR. In simpler terms, it is the interest you will receive in a year over how much investment you have made.


Que: When to use CAGR?


Ans: You may use CAGR to gauge the performance of different mutual funds to determine the earning potential. You may consider the total time period of investment giving you an accurate picture of the earnings from your mutual funds.