Rate of Return (ROI) Calculator
Calculate and analyze your investment returns
Investment Details
Results
Standard ROI
0.00%
Annualized Return (CAGR)
0.00%
Total Return
$0.00
Absolute Return
0.00%
ROI Visualization
Growth Over Time
Enter your investment details above to see growth analysis.
How to Use This ROI Calculator
Basic Usage
- Enter your initial investment - The amount you initially invested.
- Enter the final value - The current or expected final value of your investment.
- Specify the time period - Enter how long the investment has been or will be held.
- Select calculation method - Choose how you want the return calculated.
- Click Calculate - View your results and visualizations.
Understanding ROI Methods
Standard ROI
Measures the total percentage return on your investment.
Formula: (Final Value - Initial Investment) / Initial Investment × 100%
Annualized ROI (CAGR)
Shows the year-over-year growth rate smoothed over the investment period.
Formula: ((Final Value / Initial Investment)^(1/years) - 1) × 100%
Total Return
The absolute dollar amount gained or lost.
Formula: Final Value - Initial Investment
Absolute Return
The percentage change without annualization.
Same as Standard ROI but uses absolute value for comparison
Tips for Accurate Analysis
- For long-term investments, use the CAGR method to get a true annual rate.
- Consider inflation when evaluating long-term ROIs.
- For investments with regular contributions or withdrawals, this simple calculator may not provide a complete picture.
- Remember that past performance doesn't guarantee future returns.
Chart Interpretation
The visualization shows your investment growth and helps compare different calculation methods:
- Bar Chart - Compares different ROI calculation methods.
- Line Chart - Shows the projected growth of your investment over time.
Common ROI Scenarios
Stock Market (Average Year)
$10,000 → $12,000 in 1 year
20% standard ROI, 20% annualized
Long-term Investment
$100,000 → $200,000 in 10 years
100% standard ROI, 7.18% annualized
Business Investment
$25,000 → $40,000 in 5 years
60% standard ROI, 9.86% annualized
Bond or CD
$5,000 → $5,500 in 1 year
10% standard ROI, 10% annualized
Disclaimer
This calculator provides estimates for informational purposes only. Actual investment returns may vary due to market conditions, taxes, fees, and other factors. Always consult with a qualified financial advisor before making investment decisions.