Enter your initial investment, final value and time period to instantly calculate ROI, annualised return and total profit or loss.
ROI (Return on Investment) is the simplest measure of investment performance. It compares the gain or loss to the original amount invested, expressed as a percentage: ROI = ((Final Value − Initial Investment) ÷ Initial Investment) × 100.
Annualised return (CAGR) accounts for the time period: CAGR = (Final Value ÷ Initial Investment)^(1 ÷ Years) − 1. This allows fair comparison between investments held for different lengths of time.
For context, the UK stock market (FTSE All-Share) has historically returned around 7–8% per year on average. Cash savings in 2026 pay 4–5% AER. Property has historically returned 4–6% per year plus rental yield. A ROI significantly above inflation (currently ~3%) in real terms is generally considered good.
Always compare investments on an annualised basis — a 50% ROI over 10 years is very different from 50% over 1 year.
ROI (Return on Investment) measures total percentage gain over the entire period without accounting for time. CAGR (Compound Annual Growth Rate) is the annualised equivalent — it tells you what consistent annual return would have produced the same result. CAGR is more useful for comparing investments held over different periods.
No — this calculator shows nominal ROI. For real (inflation-adjusted) returns, use our Real Return After Inflation Tool to see what your investment is worth in today's money.
Yes, for total return calculations you should include any dividends or income received in your final value figure. This gives a true picture of the investment's total performance including income as well as capital growth.