Return on Investment (ROI)
Work out the return on an investment (ROI %), the gain and the annualized ROI.
€
€
yrs
ROI50%
Gain€5,000.00
Annualized (CAGR)14.47%
How it works
Return on investment (ROI) puts a profit or loss in context by expressing it as a percentage of what you put in, so investments of different sizes can be compared on equal terms.
ROI = (final value − initial cost) ÷ initial cost × 100. A €1,000 investment that grows to €1,300 has an ROI of 30%. Because a plain ROI ignores time, the calculator also shows annualized ROI (CAGR), the steady yearly rate that would produce the same result — essential when one gain took one year and another took five.
For a realistic figure, include every cost in the initial amount: commissions, fees and taxes all reduce the true return, and leaving them out flatters the result.
Frequently asked questions
What is annualized ROI (CAGR)?
It is the average yearly growth rate that would produce the same total return — useful for comparing investments of different durations.
Can ROI be negative?
Yes, when the final value is less than the initial cost — it means a loss.
Does ROI include fees?
For an accurate result, enter as the cost the total amount you invested, including commissions and fees.