Return on Investment (ROI) is the simplest way to measure how well an investment performed. This calculator computes both the total ROI and the annualised return - so you can compare investments held for different durations on equal footing.
Use decimals for fractional years
Profit
₹80,000
Final − Invested
Total ROI
80.00%
Over 5 yr
Annualised return
12.47%
CAGR
Computation
ROI = (₹1,80,000 − ₹1,00,000) / ₹1,00,000 = 80.00%
CAGR = (180000 / 100000)^(1/5) − 1 = 12.47%
For multiple cash flows (SIPs, additional purchases), use the IRR or XIRR calculator. ROI assumes a single buy and a single sell. Subtract LTCG / STCG tax for an after-tax ROI.
Parte do conteúdo ainda aparece em inglês.
Return on Investment is the universal language of investing - every fund factsheet, every property brochure, every business pitch quotes it. But the same number can be misleading in different contexts. A 100% return sounds spectacular until you learn it took 25 years to deliver (that's 2.81% CAGR, less than a savings account). A 30% return sounds modest until you realise it happened in 18 months (about 18.3% CAGR - strong by any standard). This calculator strips out the duration confusion by showing both the total ROI and the annualised CAGR side-by-side.
ROI is also the right metric for any single-buy-single-sell investment: a property, a vintage car, a piece of jewellery, a one-time stock purchase, a small business sold years later. For investments with multiple cash flows (SIPs, dividend-reinvestment plans, businesses with multiple capital calls), XIRR is the right tool - use the XIRR calculator on this site instead. For everything else, this is the cleanest single number that captures investment performance.
Enter the amount you invested.
Enter the final value of the investment when sold or redeemed.
Enter the holding period in years (use decimals for fractional years).
Read the profit, total ROI, and annualised return.
Total ROI = profit / invested. That gives the headline percentage gain. But a 50% ROI in 1 year is wildly different from 50% in 10 years. The annualised return (CAGR) converts the total return into the equivalent constant yearly rate, letting you compare a 3-year stock to a 10-year FD honestly.
ROI = (Final − Invested) / Invested × 100 ; CAGR = (Final / Invested)^(1/years) − 1
Total ROI = (Final − Invested) / Invested × 100, expressed as a percentage. It tells you the magnitude of gain but not the speed. CAGR = (Final/Invested)^(1/years) − 1, the constant annual rate that would have produced the same total return. The two together give you both the absolute and the time-normalised view. Comparing investments across different holding periods is always best done on CAGR, not total ROI.
ROI should ideally be computed on a post-tax, post-cost basis to reflect what you actually got. For Indian equities held over 12 months, capital gains above ₹1.25 lakh/year are taxed at 12.5% LTCG (FY26 rates); below 12 months at 20% STCG. Real-estate sales attract LTCG at 20% with indexation or 12.5% without (post-FY24 rules), with 1% TDS on property sales above ₹50 lakh. Brokerage, stamp duty and DP charges also dilute true ROI - subtract them from final value before computing.
Risk-adjusted ROI is a more advanced refinement. A 15% return from large-cap equity is different from a 15% return from small-cap or sectoral funds because the volatility is different. Use Sharpe ratio (return per unit of volatility) for more sophisticated comparisons. For everyday use, raw CAGR is the right starting point.
Invested ₹1,00,000, sold for ₹1,80,000 after 3 years. Total ROI = 80%. CAGR = (1.80)^(1/3) − 1 = 21.6%. Strong absolute number; on a CAGR basis, exceptional for a single stock. After 12.5% LTCG on ₹80,000 gain (less the ₹1.25 lakh exemption if no other gains): tax ≈ ₹10,000, net ROI ≈ 70%, net CAGR ≈ 19.3%.
Invested ₹50,00,000 (excluding stamp duty), sold for ₹85,00,000 after 8 years. Total ROI = 70%. CAGR = (85/50)^(1/8) − 1 = 6.85%. Sounds good in absolute, modest on CAGR - barely above inflation. Add 5-7% stamp duty, lawyer fees and brokerage to invested side and the CAGR drops to roughly 5.5%, lower than an FD over the same period.
No. Total ROI is the headline gain over the entire period. CAGR (Compound Annual Growth Rate) is the equivalent yearly rate that would produce that gain. Always compare investments using CAGR.
Yes for a true picture. Subtract brokerage, taxes (LTCG/STCG), expense ratios and stamp duty from the final value, or add them to the invested amount. Pre-tax ROI overstates real returns.
Long-term equity returns 11-13% CAGR, large-cap mutual funds 10-12%, FDs 6-7%, real estate 6-9%. Anything beating its category benchmark is good; anything below it is mediocre.
Yes - if the final value is below your invested amount, ROI is negative. The calculator handles this correctly and the annualised return becomes negative as well.
If you invested in tranches (say a SIP), there is no single 'invested' amount - each instalment has a different holding period. IRR / XIRR handle this; ROI assumes a single buy and a single sell.
Total return for stocks includes dividends. If you reinvested dividends, the final value already includes them - ROI captures the full gain. If you withdrew dividends, add them back to the final value before calculating.
Indian financial products - home loans, fixed deposits, mutual funds, NPS, insurance - each carry their own quirks: monthly reducing balance vs flat-rate interest, quarterly vs monthly compounding, indexation on capital gains, the choice between the old and new tax regime. We design every finance calculator to use the formula that an Indian bank, AMC, or insurer would actually use, and to surface the assumptions in plain English so you can audit the result against your own statement.
Use this calculator alongside the EMI, SIP and inflation calculators to plan your money holistically. A standalone EMI number means little until you compare it with your in-hand salary, your existing debt-to-income ratio, and the impact of inflation on the real cost of the loan. The related-tool grid below makes it one click to chain these analyses together.
The ROI Calculator is part of the Finance suite on Online Calculator Tools, alongside 6 related calculators. All tools share the same UI patterns, the same privacy-first rendering (nothing is sent to a server), and the same commitment to showing the formula and assumptions behind every result.
