CAGR

CAGR is a helpful technique to find the overall growth rate for an investment.

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About CAGR

The CAGR is a good and valuable tool to evaluate investment options, A CAGR is far more reliable to track the growth of an investment.

This is mainly because the annual return rate doesn’t consider the compounding factor, leading to overestimation.

Thus it is useful to understand how a mutual fund grows in terms of CAGR and use it to compare different funds.

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What CAGR is looking for

The CAGR calculator calculates your average returns on your invested value with the help of initial invested value, final/return value, and the number of years. It's a way to figure out how much an investment grows on average each year, considering the effect of compounding.