An annualized return, also known as the compound annual growth rate, is used to measure the average rate of return per year when taking into consideration the effects of interest compounding. For example, if you have a 50 percent return over five years, the annualized return is less than 10...
An annualized total return is the return earned on an investment each year. It is computed as a geometric average of the returns of each year earned over a period. It is also known as theCompounded Annual Growth Rate (CAGR). The annualized rate of return allows investors to compare investme...
CAGR of the Stock Market This calculator lets you find the annualized growth rate of the S&P 500 over the date range you specify; you'll find that the CAGR is usually about a percent or two less than the simple average. Year and Return (%) Date Range Jan 1 to Dec 31 Adjust for...
Watch your order of operations on the calculations to make sure you get the correct answer. Double-check with a calculator if you're working by hand. You Might Also Like How toAnnualize a Quarterly Return How toCalculate Average Growth Rate in Excel How toMake Money with Sweatcoin How toCal...
Annualized return measures return per year. An annualized return, also known as the compound annual growth rate, is used to measure the average rate of return per year when taking into consideration the effects of interest compounding. For example, if you have a 50 percent return over five yea...