What this calculator shows you
- CAGR Calculation
- Compound annual growth rate
- Multiple Periods
- Calculate for any timeframe
- Total Return
- See overall percentage gain
- Comparison
- Compare to benchmarks
Average Return vs CAGR
Simple average return can be misleading. CAGR (Compound Annual Growth Rate) shows the smoothed annual return that would give you the same end result. CAGR is the more accurate measure for comparing investments.
Questions people ask
What is a good average return?
The S&P 500 returned about 10% a year from 1928 to 2023, roughly 7% after inflation (NYU Stern data). Returns above 7% after inflation are generally considered good. Compare to appropriate benchmarks for your asset class.
Education only, not personalized financial, tax or investment advice. Results are estimates based on the numbers you enter; real returns vary and losses happen.