Industry
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Simple ROI
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Annualized ROI (CAGR)
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Please select an industry, currency, and duration, and enter valid numbers for investment and return amount (duration must be greater than 0).
1.Choose Options
From the dropdown menus, select the Industry you want to analyze (e.g., Technology), the Currency in which you are investing (e.g., INR), and the Investment Duration (e.g., 2 years). These choices will set the context for your ROI calculation.
2. Enter Amounts
Provide the financial details of your investment:
Enter the Initial Investment Amount (e.g., ₹100,000).
Enter the Return or Final Value you expect or achieved (e.g., ₹120,000).
3. View Results
Click on “Calculate ROI” (or simply adjust any input values) to instantly view your results. The tool will display both:
Simple ROI – showing the overall percentage return.
Annualized ROI (CAGR) – showing the yearly growth rate adjusted for the duration you selected.
This ROI Calculator is a tool to measure the profitability of your investment. It calculates two metrics: Simple ROI, which shows the total percentage return, and Annualized ROI (CAGR), which shows the yearly return adjusted for time. You can select an industry (e.g., Technology, Real Estate), a currency (e.g., INR, USD), and a duration (e.g., 1 year, 5 years) to contextualize your investment, and input your initial investment and return amounts to see the results.
The calculator performs two calculations:
Simple ROI: Measures the total return as a percentage using the formula:
Simple ROI =((Return Amount − Initial Investment) / Initial Investment) × 100
Example: If you invest ₹100,000 and get ₹120,000, Simple ROI is (120,000 – 100,000) / 100,000 x 100 = 20%
Annualized ROI (CAGR): Measures the annual return, assuming compounding, using:
CAGR=((Return Amount/Initial Investment)^(1/years)−1)×100
Example: For ₹100,000 invested and ₹120,000 returned over 2 years, (120,000/100,000)^(1/2)−1×100≈9.54%
The calculator requires you to select an industry, currency, duration, and enter valid investment and return amounts.
is this correct now also the repesentation of power (1/ years)3 / 3
Yes, the tool can calculate ROI for any investment type (e.g., stocks, real estate, business ventures) as long as you provide the initial investment, return amount, and duration. The calculations are generic and not specific to any investment type or industry.
A 30% Simple ROI means your investment gained 30% of its initial value over the entire period. For example, if you invested ₹100,000, a 30% ROI means you earned ₹30,000, resulting in a total of ₹130,000.
A 30% Annualized ROI (CAGR) means your investment grew at an average rate of 30% per year, accounting for compounding over the selected duration. For instance, ₹100,000 growing to ~₹169,000 in 2 years yields a CAGR of ~30%
Whether a 30% ROI is good depends on several factors:
Simple ROI: A 30% Simple ROI is generally strong, but its value depends on the investment duration, risk, and industry. For example, 30% over 1 year is excellent, but over 10 years, it’s less impressive (equivalent to ~2.7% CAGR).
Annualized ROI (CAGR): A 30% CAGR is exceptional, as it indicates consistent high returns per year, far exceeding typical benchmarks like stock market returns (~7-10% annually) or fixed deposits (~5-7% in India).
Compare your ROI to industry standards (e.g., Technology often has higher ROIs than Retail), risk levels (higher risk may justify higher ROI), and inflation (e.g., ~4-6% in India). A 30% ROI is typically good but assess it against your goals and market conditions.
