Average Return Calculator
Calculate the average return on your investments over multiple periods
How to Use
Initial Investment: The amount you initially invested
Final Value: The current or final value of your investment
Time Period: The duration of your investment in years
Additional Contributions: Any extra money added during the period
Calculation Methods
Simple Average Return
Total Return ÷ Number of Years
CAGR (Compound Annual Growth Rate)
(Final Value ÷ Initial Value)^(1/Years) - 1
Arithmetic Mean
Sum of all annual returns ÷ Number of years
Example Calculation
Investment: $10,000 grows to $15,000 over 5 years
Simple Return: (50% total return) ÷ 5 years = 10% per year
CAGR: ($15,000 ÷ $10,000)^(1/5) - 1 = 8.45% per year