ganak.appROI Calculator
Calculate ROI, annualized return (CAGR), real return after inflation, and benchmark outperformance for any global investment scenario.
ROI Breakdown
How your investment grew over the holding period
Key Metrics
Returns, benchmark comparison, and inflation-adjusted value
Scenario Analysis
Sensitivity if final value changes by +/-10% to +/-25%
| Scenario | Final Value | Net Profit | ROI | Annualized |
|---|---|---|---|---|
| -25% | $10,500 | $500 | 5.00% | 0.98% |
| -10% | $12,600 | $2,600 | 26.00% | 4.73% |
| Base Case | $14,000 | $4,000 | 40.00% | 6.96% |
| +10% | $15,400 | $5,400 | 54.00% | 9.02% |
| +25% | $17,500 | $7,500 | 75.00% | 11.84% |
What ROI Means
Return on Investment measures profit relative to invested capital
ROI (Return on Investment) tells you how efficiently an investment performed. It compares the gain (or loss) to the total money put in, including purchase cost and optional additional costs.
Simple ROI Formula
ROI % = ((Final Value - Total Invested) / Total Invested) × 100
Annualized ROI (CAGR)
Use annualized returns to compare investments across different time periods
A 30% ROI over 2 years is not the same as 30% ROI over 10 years. Annualized ROI (CAGR) normalizes performance into a yearly growth rate.
Annualized ROI Formula
CAGR = ((Final Value / Total Invested)^(1 / Years) - 1) × 100
How This ROI Calculator Works
Inputs, processing, and outputs used by this page
- Enter initial investment, optional additional costs, final value, and holding period.
- The calculator computes total invested, net profit, simple ROI, and annualized ROI.
- Optional inflation and benchmark rates are used for real return and outperformance analysis.
- A scenario table shows upside and downside sensitivity around your final value.
Real World Example
Worked example: $10K invested, $500 costs, sold at $15K after 3 years
You buy an asset for $10,000 and spend $500 on fees and maintenance. After 3 years, you sell for $15,000. Total invested is $10,500, so net profit is $4,500. Simple ROI = (4,500 ÷ 10,500) × 100 = 42.86%. Annualized ROI (CAGR) normalizes that over 3 years to 12.62% per year, so you can compare it to other investments.
Inputs
- Initial investment: $10,000
- Additional costs: $500
- Final value: $15,000
- Holding period: 3 years
Outputs
- Total invested: $10,500
- Net profit: $4,500
- Simple ROI: 42.86%
- Annualized ROI: 12.62%
Assumptions and Limits
What this calculator includes and what it does not
- Assumes a single entry and single exit value (no interim cash flows).
- Does not include taxes unless you manually include them in additional costs or final value.
- Benchmark comparison assumes annual compounding at a fixed rate. Default benchmark rates are illustrative and vary by currency — adjust them to match your actual benchmark.
- Inflation adjustment uses a constant yearly inflation rate over the full holding period. The "Real ROI" shown is total-period (not annualized).
Common ROI Mistakes
Frequent errors that distort investment decisions
Comparing simple ROI numbers across different time horizons without annualizing.
Ignoring fees, transaction costs, maintenance, or closing costs in total invested capital.
Comparing nominal returns to benchmark returns without considering inflation.
Using optimistic final value assumptions without downside scenario testing.
Frequently Asked Questions
Common questions about ROI, CAGR, benchmark, and inflation