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Investments & Mutual Funds

CAGR Calculator – Calculate Compound Annual Growth Rate, Multiplier & Schedule

Calculate CAGR, absolute percentage returns, wealth multipliers, Rule of 72 doubling period, and year-by-year compounding growth progression table.

₹1,000₹10 Lakhs₹25 Lakhs₹50 Lakhs
₹1 Lakh₹50 Lakhs₹1 Crore₹2 Crores
Years
1 Yr5 Yrs10 Yrs20 Yrs40 Yrs
Annualized Compounded Growth (CAGR)
28.47%
3.50x Wealth Multiplier
Initial Principal ₹1,00,000
Total Profit Gained ₹2,50,000
Absolute Total Return: +250.00%
Doubling Period (Rule of 72): 2.5 Years

Year-by-Year CAGR Compounding Progression

Step-by-step capital growth trajectory over your investment holding period.

5 Years Progression
Year Opening Capital Annual Growth Cumulative Profit Closing Value

How to Use this Calculator & Formula Breakdown

1

Step 1: Input Financial Parameters

Enter the initial beginning capital and target ending value.

2

Step 2: Instant Client-Side Computation

Set the investment time period in years.

3

Step 3: Analyze Visual Breakdown & Amortization

Explore live interactive Chart.js donut chart, annualized CAGR %, absolute return, and full compounding progression table.

Mathematical Algorithm & Formula

CAGR = ( Final Value / Initial Value )^(1 / n) - 1, representing geometric annualized growth.

Frequently Asked Questions (FAQs)

What is CAGR (Compound Annual Growth Rate) and why is it important?

CAGR represents the mean annual growth rate of an investment over a specified period of time longer than one year, smoothing out annual market volatility to provide an accurate annualized rate of return.

What is the difference between CAGR and Absolute Returns?

Absolute Return measures the simple total gain or loss from start to end without accounting for the time taken. CAGR calculates the exact geometric year-on-year compounded return percentage.

What is the mathematical formula for calculating CAGR?

The CAGR formula is: CAGR = ( Ending Value / Beginning Value )^(1 / n) - 1, where n is the number of years between the initial and final period.

How does the Rule of 72 estimate the money doubling period from CAGR?

The Rule of 72 states that dividing 72 by your annual CAGR % gives the approximate number of years required to double your initial invested capital (e.g., at 12% CAGR, money doubles in 72 / 12 = 6 years).

Is CAGR suitable for assessing SIP (Systematic Investment Plans)?

No! CAGR is designed for single lumpsum investments. For periodic monthly SIPs where cash is invested at different time intervals, XIRR (Extended Internal Rate of Return) is the accurate financial metric.

What is considered a good CAGR return in Indian Mutual Funds and Stock Markets?

Historically, broad Indian equity indices like Nifty 50 and Sensex have delivered a 12% to 14% long-term CAGR, while top active mid-cap and small-cap mutual funds have delivered 15% to 18% CAGR over 10+ year horizons.