ROI Calculator
Return on Investment (ROI) measures the gain or loss relative to the amount invested. This calculator shows your total ROI percentage, net profit or loss, and optionally the Compound Annual Growth Rate (CAGR) if you provide the holding period.
Frequently Asked Questions
What is ROI and how is it calculated?+
ROI (Return on Investment) = ((Final Value − Initial Investment) / Initial Investment) × 100. It expresses the gain or loss as a percentage of the amount invested, making it easy to compare different investments.
What is the difference between ROI and CAGR?+
ROI is the total return over the entire investment period, regardless of how long it took. CAGR (Compound Annual Growth Rate) annualises that return, enabling meaningful comparisons between investments of different durations. A 50% ROI over 5 years is a CAGR of ~8.4%.
What is a good ROI?+
A "good" ROI depends on the asset class and timeframe. Indian equity markets have historically delivered 12–15% CAGR over 10+ years. FDs offer 6–8%. Real estate ROI varies widely by city and holding period. The key benchmark is whether your ROI beats inflation.
Does this ROI calculator account for taxes?+
No. This calculator shows pre-tax ROI. In reality, capital gains tax applies to most investments (STCG at 15% or 20% for equities held under 1 year, LTCG at 10% or 12.5% above ₹1.25 lakh for equities held over 1 year). Adjust the final value for taxes for an accurate post-tax ROI.