Rechnerpilot Calculator

Return Calculator

Calculate the annual return (CAGR) of your investment. Enter start value, end value, and holding period — with calculation steps, chart, and progress table.

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Inputs

Enter values

Live

Calculate annual returnHow well did my investment perform per year?

Start value

€

Value of the investment at the beginning (purchase price, entry price).

End value

€

Current value or selling price.

Years

Holding period in full years.

Months

Additional months (0-11).

Load example

For illustration only – your own calculation is what counts.

Explanation

How Return Calculator works

The return calculator links an investment’s start value, end value, and term. Retrospectively, it calculates profit or loss, total return, and annualized return (CAGR); its scenario modes also determine the end value, start value, or term at a constant annual rate.

Annual return (CAGR)r = (end value / start value)^(1/t) - 1

The CAGR is the uniform annual growth rate that takes the start value to the end value in t years. It accounts for the compound interest effect.

Total returnReturn = (end value - start value) / start value × 100 %

The total return shows the percentage profit (positive) or loss (negative) over the entire holding period.

Annualization places point-to-point periods of different lengths on a common annual basis: a 100% total return over 20 years equals a 3.53% CAGR, while 50% over five years equals 8.45%. A sound investment comparison also requires comparable cash flows, costs, taxes, and risks.

Knowledge

Return vs. interest rate

Why return and interest rate are not the same and when which metric is appropriate.

An interest rate describes contractual interest or a calculation assumption. Return instead relates income or a change in value to the capital invested; this calculator derives it from start value, end value, and time, without separate cash flows.

Interest rate: a contractual measure or assumption for an interest calculation.
Return: income or change in value relative to the capital invested.
CAGR: constant calculated annual rate between start and end value.
Total return: The percentage profit/loss over the entire holding period.
Annualized return: a common annual basis, but no substitute for comparing costs, cash flows, and risk.

Practice

Practical examples

For illustration only – your own calculation is what counts.

Stock return over 5 years

A stock was bought 5 years ago for EUR 8,000 and is now worth EUR 12,500. What is the annual return?

Result: The annual return (CAGR) is 9.34%. The total return is 56.25%, and the profit is EUR 4,500.

Stock: €8,000 → €12,500, 5 years9.34 %

ETF: €10,000 → €25,000, 10 years9.6 %

Property: €5,000 → €20,000, 15 years9.68 %

ETF after 10 years

An ETF share was purchased for EUR 5,000 and is worth EUR 9,000 after 10 years. How well did the investment perform?

Result: The annual return is approx. 6.05%. The capital grew by 80%.

Real estate appreciation

An apartment was purchased 15 years ago for EUR 150,000. The current market value is EUR 320,000.

Result: The annual appreciation is approx. 5.18%. Total return: 113.33%.

End value at known return

EUR 20,000 is invested at an annual return of 7%. How much capital results after 12 years?

Result: Under the constant calculation assumption of 7% per year, EUR 20,000 grows mathematically to EUR 45,043.83 in 12 years.

Evaluating a loss

An investment of EUR 25,000 is worth only EUR 20,000 after 3 years. What is the annual loss?

Result: The annual return is approx. -7.17%. The total return is -20%.

How much must I invest?

In 8 years, EUR 50,000 should be available. The expected return is 6% p.a. How much must be invested today?

Result: At 6% annual return, approx. EUR 31,371 must be invested today.

Time to reach the target value (EUR 20,000)

EUR 10,000 is invested at a 5% annual return. How long until it becomes EUR 20,000?

Result: At a 5% annual return, it takes about 14 years and 2 months for EUR 10,000 to become EUR 20,000 (total return 100%).

Notes

Common mistakes

Using arithmetic instead of geometric average return
The arithmetic average (+20%, -20% → average 0%) suggests no change, but the actual loss is 4%. Geometric linking correctly represents this point-to-point development.
For point-to-point development without interim payments, use the geometric annual rate; in this two-year example it is about -2.02% per year.
Ignoring inflation in return analysis
Nominal return and purchasing-power development are different measures. Simply subtracting the inflation rate is only an approximation and can distort the real result.
For the same period, calculate real return as (1 + nominal return) / (1 + inflation rate) - 1.
Not accounting for transaction costs and fees
Start and end values may reflect different cost bases. Fees, taxes, or separately paid costs are then missing from the point-to-point return.
Compare only values on the same cost and tax basis, and do not present missing cash flows as included by the calculator.
Extrapolating short-term returns to long periods
A return annualized from only a few months describes only the entered period. It is not a reliable statement about later years.
Label annualized results as a retrospective calculation or constant scenario assumption, not as a forecast.
Interpreting absolute return as annual return
An investment that grows from EUR 10,000 to EUR 15,000 in 5 years has an absolute return of 50%, but an annualized return (CAGR) of only approx. 8.4%. The absolute return says nothing about annual performance without time context.
Always state returns with time context: absolute return for the total period, CAGR for annual performance.

FAQ

Frequently asked questions

What is the annual return (CAGR)?

CAGR (Compound Annual Growth Rate) is the constant calculated annual rate that takes the start value to the end value over the entered term. It smooths the path and does not represent returns actually achieved in individual years.

What is the difference between total return and annual return?

The total return shows the percentage profit or loss over the entire holding period. CAGR converts this point-to-point change into a constant annual rate. This creates a common time basis but does not replace a comparison of cash flows, costs, and risks.

Can I also calculate losses?

Yes. If the end value is less than the start value, the calculator shows a negative return. This occurs with price losses or value depreciation.

Are dividends or distributions considered?

No. The calculator only uses the start value, end value, and term. Separately paid dividends, deposits, withdrawals, and their timing are not processed. Simply adding them to the end value ignores payment timing and replaces neither internal rate of return nor time-weighted return.

How does the return calculator differ from the interest calculator?

The interest calculator computes theoretical earnings at a fixed interest rate. The return calculator evaluates retrospectively: It determines actual performance from start and end values.

What does 'annualized' mean?

Annualized means converted to one year. A total return of 50% over five years corresponds, with compounding, to a CAGR of 8.45% per year; dividing 50% by five would be incorrect.

Does the calculator consider taxes or inflation?

No. The calculator shows a nominal return from the entered values. Taxes, costs, and inflation are not considered separately. For the same period, the exact real return is (1 + nominal return) / (1 + inflation rate) - 1.

How accurate is CAGR as a metric?

CAGR is mathematically unambiguous for the entered start and end values. It is limited as a description of the investment path: fluctuations, risk, and interim cash flows are not visible in the result.

Limits

Limitations

No intermediate payments (cash flows) modeled: The calculator considers only start and end value. Savings rates, withdrawals, and dividends are not captured.
No tax calculation: The displayed return is gross return before taxes. Capital gains tax and solidarity surcharge reduce the net return.
No risk metrics: CAGR shows only the average return, not the risk taken (volatility, maximum drawdown).
Retrospective view, not a forecast: Past returns are not a reliable indicator of future results.

Sources

Sources and references

Investor.gov — Annual ReturnU.S. Securities and Exchange Commission
Official investor information on annual return as an investment’s profit or loss over a one-year period.
View sourceRetrieved: 07/23/2026 · Verified on: 07/23/2026
Deutsche Bundesbank — Reale GesamtrenditeDeutsche Bundesbank
The Bundesbank distinguishes real, inflation-adjusted total return from nominal value developments.
View sourceRetrieved: 07/23/2026 · Verified on: 07/23/2026 · Primary source
ESMA — Kosten und Performance von AnlageproduktenEuropean Securities and Markets Authority
The European securities regulator explains that costs affect the net return remaining for investors.
View sourceRetrieved: 07/23/2026 · Verified on: 07/23/2026 · Primary source

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Knowledge

Inflation and real returns: how much purchasing power grows
Distinguish the nominal final amount from purchasing power using an exact real-return formula and a ten-year example.