How CAGR Calculator works

Calculate compound annual growth rate, total return and gain from an initial value, final value and duration.

The formula

CAGR = (Final value ÷ Initial value)^(1 ÷ years) − 1.

A practical example

A value rising from ₹1,00,000 to ₹1,61,051 in 5 years has a CAGR of about 10%.

Important limitations

Results are estimates based only on the values you enter. They do not include every fee, tax, timing difference, market movement or product rule.

Frequently asked questions

Is CAGR the same as average annual return?

No. CAGR is the constant compounded rate that connects the initial and final values.

Can CAGR be negative?

Yes. A lower final value produces a negative CAGR.

Does CAGR show volatility?

No. It smooths the path and does not reveal year-to-year changes.