Absolute Return Calculator
Calculate how much your investment has grown in total percentage terms. Simple, fast, and accurate absolute return calculations.
Absolute Return
50.00%
Total Gain
+₹50K
Investment Summary
Absolute Return shows how much your investment has grown in total, regardless of time. It's the simplest way to measure investment performance by comparing your final value to your initial investment.
Key Features:
- ✓Time Independent: Doesn't consider how long you held the investment
- ✓Simple Calculation: Easy to understand and calculate
- ✓Total Growth: Shows overall performance of your investment
- ✓Quick Comparison: Easy to compare different investments
Example:
If you invested ₹1,00,000 and it became ₹1,50,000:
Absolute Return = [(₹1,50,000 - ₹1,00,000) / ₹1,00,000] × 100 = 50%
This means your investment grew by 50% in total, regardless of whether it took 1 year or 10 years.
The Formula
Absolute Return (%) = [(Final Value - Initial Investment) / Initial Investment] × 100
Variables:
- FVFinal Value: Current value of your investment
- IVInitial Investment: Amount you originally invested
Step-by-Step:
- 1. Subtract initial investment from final value
- 2. Divide the result by initial investment
- 3. Multiply by 100 to get percentage
Detailed Example
Given:
- • Initial Investment: ₹2,00,000
- • Final Value: ₹3,50,000
Calculation:
Gain = ₹3,50,000 - ₹2,00,000 = ₹1,50,000
Return = (₹1,50,000 / ₹2,00,000) × 100
Absolute Return = 75%
Important Notes:
- ⚠️Absolute return doesn't consider the time period of investment
- ⚠️For time-adjusted returns, use CAGR (Compound Annual Growth Rate)
- ⚠️Negative values indicate a loss on your investment