Compare what you invested with what you received. See your gain or loss, total ROI, and annualised return.
Your return, explained
Enter your amounts and duration to see the return breakdown and an illustrated value chart.
How this tool works Method, sources & assumptions
Developed by Suraj Pokhrel. Calculations are estimates; the method and assumptions explain how to interpret them.
How to interpret ROI
ROI = (amount returned − amount invested) ÷ amount invested × 100. An investment of NPR 10,000 returning NPR 12,000 has a 20% total ROI. Over two years the simple annual return is 10%, while CAGR is approximately 9.54%. Include fees and taxes in your inputs if you want a net return. CAGR assumes no intermediate cash flows.
Understand the calculation
This utility turns the amounts you enter into total return, simple annual return and compound annual growth rate (CAGR). It does not assess an investment or recommend what to buy.
ROI and annualised return
ROI = (final amount − initial investment) ÷ initial investment × 100. NPR 100,000 returned as NPR 120,000 is a 20% total return.
Over two years, the simple annual return is 10%. CAGR is about 9.54%: (final ÷ initial)1 ÷ years − 1, expressed as a percentage. It is the constant annual rate that connects the two amounts, not the return actually earned in each year.
What is not included?
Fees, taxes and inflation are not added automatically. Include costs in your inputs if you want a net calculation. CAGR assumes no intermediate deposits or withdrawals; it is not suitable for measuring irregular cash flows.
USEFUL ANSWERS
Read ROI without confusing it with annual growth
Use ROI to compare the ending amount with the starting amount. Use CAGR to express that change as an equivalent compound annual rate when there are no intermediate deposits or withdrawals.
Should “amount returned” contain my profit or my final balance?
Enter the full final amount, including the returned principal. Investing NPR 100,000 and finishing with NPR 120,000 means entering 120,000, not 20,000. The tool subtracts the initial amount to calculate the gain.
NPR 100,000 becoming NPR 120,000 in two years gives 20% total ROI. Dividing by two gives 10% simple annual return. CAGR is approximately 9.54%, the constant compounded annual rate that connects those two balances.
Not as a cash-flow-aware performance measure. This calculator assumes a starting amount and an ending amount without intervening contributions. Use the investment calculator for a hypothetical recurring-contribution scenario; irregular actual cash flows need a dated cash-flow method such as XIRR.
No. It illustrates a constant-CAGR path between the entered amounts. It is neither observed price history nor a forecast. With a zero final amount, only the endpoints are shown because a total loss does not define a smooth compound path.