CAGR & XIRR Calculator
Calculate the true annualized performance of your mutual fund, stock, or real estate portfolio. Supports point-to-point CAGR and multi-cashflow XIRR.
CAGR Inputs
Formula: (V_final / V_initial)^(1/n) - 1Cash Flow Entries
Negative (-) for investments/SIPs, Positive (+) for current portfolio valuation or redemptions.
| Date | Flow Type | Amount (₹) | Action |
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💡 Why Mutual Funds Use XIRR, Not CAGR
When investing via monthly SIPs, each monthly installment has spent a different amount of time in the market (the 1st installment spent 365 days, while the 12th installment spent only 30 days). Standard CAGR would distort your true returns; XIRR weights every rupee by the exact number of days it was invested.
🧮 The Mathematical CAGR Formula
$$\text{CAGR} = \left(\frac{\text{Final Value}}{\text{Beginning Value}}\right)^{\frac{1}{N}} - 1$$
Where N is the holding period in fractional years. CAGR dampens the effect of extreme year-to-year volatility and provides a single, steady annual growth rate.
⚡ The Mathematical XIRR Formula
$$\sum_{i=1}^{N} \frac{C_i}{(1 + \text{XIRR})^{\frac{d_i - d_1}{365}}} = 0$$
Where $C_i$ is the cashflow amount on date $d_i$, and $d_1$ is the first transaction date. It is solved numerically using the Newton-Raphson approximation technique until net present value equals zero.
Frequently Asked Questions
What is considered a "good" CAGR in India?
Historically, India's broad equity index (Nifty 50) has delivered a 12% to 14% CAGR over 10+ year periods. Indian debt funds typically deliver 6.5% to 7.5% CAGR, and physical gold has delivered approximately 10% to 11% CAGR over long horizons.
Can XIRR be negative?
Yes. If the current value of your portfolio is lower than the cumulative sum of your investment cash outflows, your XIRR will be negative, accurately reflecting an annualized portfolio loss.
Does this calculator upload my transaction figures?
No. 100% of the computations and cashflow iterations occur locally inside your device's browser memory (RAM). No data is ever transmitted to any server.