Useful Utilities

ROI Calculator

Return on an investment from its initial and current value plus the holding period: ROI percent, annualized return, and the constant-rate path.

Fill in the values and calculate

Initial investment*
Final value*What it is worth now, income and dividends included
Holding period in monthsFrom the first purchase to todayDefault 12

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About ROI Calculator

Two numbers answer the same question. The simple return (ROI) is the growth over the whole holding period; the annualized return is the constant yearly rate that would compound to the same value if every year grew alike. Over one year the two agree.

For periods longer than a year the annualized number is the honest headline: a simple annualization divides the total by the years and pretends the whole gain repeats every year, which overstates anything past one year of holding.

Questions about ROI Calculator

What is the difference between ROI and annualized return?

ROI is the total growth over the holding period. The annualized rate is the yearly rate that compounds to the same total; over one year the two are identical.

Are dividends included?

Whatever value you type already includes dividends: add income into the final value yourself before it is read as ROI.

Why compound instead of divide by years?

Compounding matches how value actually grows. Simple annualization counts a two-year gain as if it paid the whole gain again every year.

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