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CAGR Calculator

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Calculate Compound Annual Growth Rate or future value of investments

I want to
₹1 lakh
₹
₹2 lakh
₹
years
Half years are fine, e.g. 3.5
CAGR
14.87%per year
Total return %
100%
Absolute gain
₹1,00,000
For comparison, rough long-term CAGRs: Nifty 50 about 12% to 14%, fixed deposits 6% to 7%, gold about 10%, real estate 8% to 10%.
Growth over time
YearValueGain
1₹1,14,870₹14,870
2₹1,31,951₹31,951
3₹1,51,572₹51,572
4₹1,74,110₹74,110
5₹2,00,000₹1,00,000

Runs entirely in your browser. Nothing you type or upload is sent to us or stored.

Results are estimates, not financial advice. Rates, charges and rules change, so confirm with your bank, post office or a financial adviser before you decide. Terms of use

How to Use

  1. Choose Calculate CAGR (from a start and end value) or Future value (from a CAGR).
  2. Calculate CAGR: enter the Initial value, Final value and Number of years (half years like 3.5 are fine).
  3. Future value: enter the Initial value, the CAGR (%) and the Number of years.
  4. The result, total return % and a year-wise growth table update as you type.
  5. Compare your CAGR with the benchmark note under the result (Nifty 50, FD, gold, real estate), and use pdf or CSV/Excel to save it.

What is CAGR?

Compound Annual Growth Rate (CAGR) is the steady yearly rate at which an investment would have grown to reach its final value. Real returns jump around from year to year. CAGR smooths that into one number, which is why it's the standard way to compare investments over time. This CAGR calculator works it out from a start value, an end value and the number of years.

CAGR = (Final Value / Initial Value)^(1/Years) − 1

Say ₹1,00,000 grew to ₹2,00,000 in 5 years. The CAGR is (2)^(1/5) − 1, or about 14.87% a year.

CAGR benchmarks (India, ~10-year average)

Asset classApprox. CAGR
Nifty 50 (large-cap equities)12–14%
Nifty Midcap 15015–18%
Gold9–11%
Real Estate (metro cities)7–10%
Fixed Deposit (SBI)6–7%
PPF7.1%
Inflation (CPI)5–6%

CAGR vs absolute return vs XIRR

  • Absolute return: (Final − Initial) / Initial × 100. It ignores time, and a 50% return over 1 year is a very different thing from 50% over 10 years.
  • CAGR: the annualised return. It suits a lump sum held for a fixed period, and it assumes gains are reinvested.
  • XIRR: the one to use for SIPs and irregular cash flows, such as mutual fund SIPs with changing amounts. For ongoing investments it's more accurate than CAGR.

Frequently Asked Questions

Anything comfortably above inflation. CPI inflation runs at about 5–6%, so an investment has to beat 6% just to hold its real value. Rough benchmarks: FD and PPF 6–8%, gold ~10% over the long term, real estate 7–10%, Nifty 50 ~12–14% over 10+ years. For a balanced investor, a portfolio CAGR of 10–12% is good. Above 15% sustained over long periods is exceptional.

Because it's the one constant yearly return that would produce the same end result. It doesn't mean returns were smooth. Nifty 50 might show a 12% CAGR over 10 years and still have had years of +40% and years of -30%. CAGR helps you compare investments over the same period. It doesn't predict that future returns will be steady.

CAGR assumes one investment at the start and one value at the end, with nothing in between. IRR (Internal Rate of Return) handles several investments and withdrawals at different times. For SIPs, or real estate with rent coming in and costs going out, XIRR/IRR gives a truer picture. Stick to CAGR for simple lump-sum comparisons.