Mutual Fund Returns Calculator
Compute the absolute return and annualized return (CAGR) on a mutual fund investment from your invested amount and current value.
Frequently Asked Questions
Absolute vs annualized return?
Absolute return is the total percentage gain over the whole period. Annualized return (CAGR) converts it to a per-year rate so you can compare investments held for different lengths of time.
When should I use each?
Use absolute return for holdings under a year, and annualized (CAGR) for longer holdings to fairly compare performance.
Does this account for SIPs?
No — this is for a single invested amount. For SIPs with multiple dated investments, use the XIRR calculator instead.
Understanding the Mutual Fund Returns Calculator
The Mutual Fund Returns Calculator measures how much a fund investment grew between two Net Asset Value (NAV) points. Given the purchase NAV, the redemption NAV and the holding period, it reports the absolute (point-to-point) return and the annualized (CAGR) return. It is for investors who want to evaluate past performance of a lump-sum holding in a clear, comparable way. Results describe historical performance only and are not a forecast or a recommendation.
How it works
Enter the buy NAV, the sell or current NAV, and the time held in years. Absolute return is the simple percentage change between the two NAVs. Annualized return (CAGR) converts that total change into a constant yearly growth rate, which lets you compare investments held for different durations on equal footing. For holdings under a year, annualizing can exaggerate short-term moves, so the absolute figure is more meaningful there. CAGR assumes a single lump sum; for recurring SIP investments, an XIRR-based measure is more appropriate.
Worked example
You bought units at a NAV of Rs 100 and the NAV is now Rs 180 after 4 years. Absolute return = (180 - 100)/100 x 100 = 80%. CAGR = ((180/100)^(1/4) - 1) x 100 = (1.8^0.25 - 1) x 100, which is about 15.83% per year. So an 80% total gain over four years works out to roughly a 15.8% annualized return - the rate at which a single investment would have to grow each year to produce that result.
Tips & common mistakes
- Use absolute return for short holdings and CAGR to compare across different time periods.
- CAGR assumes one lump-sum entry and exit; for SIPs with multiple dated cash flows, use XIRR instead.
- NAVs are usually shown for the growth option; if you hold the dividend/IDCW option, payouts affect true return and must be added back.
- Returns shown are before exit load, expense ratio drag (already in NAV) and capital gains tax - net returns will be lower.
- Past performance does not indicate future returns; this is a measurement tool, not a forecast.
Sources & methodology
- • AMFI - daily NAV and returns methodology (https://www.amfiindia.com)
- • SEBI Investor Education - understanding mutual fund returns (https://investor.sebi.gov.in)
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Reviewed by the TopOpenTools editorial team · Last updated June 2026. These tools provide general estimates for educational purposes only and are not financial, tax, insurance, investment, or medical advice. Verify important decisions with a qualified professional.