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CAGR Calculator

Updated on September 20, 2021 , 9161 views

What is CAGR?

CAGR refers to the mean annual growth of an investment over a specific time duration. It is assumed that the value of investment is compounded over the duration. Unlike Absolute Return, CAGR takes time value of money into account. As a result, it is able to reflect the true returns of an investment generated over a year.

CAGR Calculator

Start Value:
End Value:
Tenure:
Years

CAGR (Compound Annual Growth Rate)

20.11%

How To Use CAGR Calculator

Where can you use CAGR calculators CAGR is an easy to use tool to analyse your investment decisions. It finds application in the following scenarios:

  1. You bought some specific units in Equity Funds this year and your fund value increased. With the help of CAGR calculator, you would be able to know the rate of return on your investment
  2. You want to start Investing and have some specific goals. With the CAGR calculator, you will get to know at what rate you have to grow your money within the time frame
  3. Consider you have invested in an equity fund whose 3,5, and 10-year returns are 25%, 15% and 10% respectively. You want to know the average rate at which your fund grew annually
  4. To compare the CAGR of an investment with your expected rate and check for the suitability. Invest only if the CAGR is greater than or equal to your expected rate of return
  5. CAGR of a Mutual Fund can be compared with a benchmark return

CAGR Formula

The CAGR can be calculated using the mathematical formula

CAGR = [ (Ending value/Beginning Value)^(1/N) ] -1

The above formula depends on three variables. Namely, the beginning value, ending value and Number of years (N)

When you input the above three variables, the CAGR calculator would give you the rate of Return on Investment.

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Limitations of CAGR

Even though CAGR is a useful concept, it has a lot of limitations. A lack of awareness of these limitations would lead to bad investment decisions. Some of the limitations are:

In calculations related to CAGR, it’s only the beginning and end values. It assumes that the growth is constant over the duration of time and fails to consider the volatility aspect

It is suitable only for a lump sum investment. As in case of a SIP investment, the systematic investment at various intervals wouldn’t be considered as only the beginning value is considered while calculating the CAGR

CAGR does not account for the risk inherent in an investment. When it comes to equity investment, risk-adjusted returns are more important than CAGR. For these purposes, you need to consider better ratios like Sharpe Ratio

Top Funds with best 3 year CAGR

1. ICICI Prudential Technology Fund

To generate long-term capital appreciation for you from a portfolio made up predominantly of equity and equity-related securities of technology intensive companies.

ICICI Prudential Technology Fund is a Equity - Sectoral fund was launched on 3 Mar 00. It is a fund with High risk and has given a CAGR/Annualized return of 13.8% since its launch.  Ranked 37 in Sectoral category.  Return for 2020 was 70.6% , 2019 was 2.3% and 2018 was 19.1% .

Below is the key information for ICICI Prudential Technology Fund

ICICI Prudential Technology Fund
Growth
Launch Date 3 Mar 00
NAV (22 Sep 21) ₹161.75 ↑ 1.98   (1.24 %)
Net Assets (Cr) ₹5,037 on 31 Aug 21
Category Equity - Sectoral
AMC ICICI Prudential Asset Management Company Limited
Rating
Risk High
Expense Ratio 2.53
Sharpe Ratio 5.19
Information Ratio 0.39
Alpha Ratio 27.7
Min Investment 5,000
Min SIP Investment 100
Exit Load 0-1 Years (1%),1 Years and above(NIL)

Growth of 10,000 investment over the years.

DateValue
31 Aug 16₹10,000
31 Aug 17₹10,287
31 Aug 18₹15,588
31 Aug 19₹15,401
31 Aug 20₹18,448
31 Aug 21₹38,991

ICICI Prudential Technology Fund SIP Returns

   
My Monthly Investment:
Investment Tenure:
Years
Expected Annual Returns:
%
Total investment amount is ₹300,000
expected amount after 5 Years is ₹689,048.
Net Profit of ₹389,048
Invest Now

Returns for ICICI Prudential Technology Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 22 Sep 21

DurationReturns
1 Month 9.4%
3 Month 28.3%
6 Month 48.2%
1 Year 101.5%
3 Year 38.5%
5 Year 33.1%
10 Year
15 Year
Since launch 13.8%
Historical performance (Yearly) on absolute basis
YearReturns
2020 70.6%
2019 2.3%
2018 19.1%
2017 19.8%
2016 -4%
2015 3.9%
2014 26.3%
2013 62.6%
2012 17.1%
2011 -18.9%
Fund Manager information for ICICI Prudential Technology Fund
NameSinceTenure
Sankaran Naren14 Jul 174.05 Yr.
Priyanka Khandelwal8 Jul 201.07 Yr.
Vaibhav Dusad2 May 201.25 Yr.

Data below for ICICI Prudential Technology Fund as on 31 Aug 21

Equity Sector Allocation
SectorValue
Technology76.11%
Communication Services9.58%
Industrials7.65%
Consumer Cyclical1.18%
Consumer Defensive1.04%
Asset Allocation
Asset ClassValue
Cash4.44%
Equity95.56%
Top Securities Holdings / Portfolio
NameHoldingValueQuantity
Infosys Ltd (Technology)
Equity, Since 30 Apr 08 | INFY
20%₹829 Cr5,147,218
↓ -223,000
Tech Mahindra Ltd (Technology)
Equity, Since 31 Oct 16 | 532755
9%₹359 Cr2,968,698
↑ 472,591
HCL Technologies Ltd Shs Dematerialised (Technology)
Equity, Since 30 Sep 20 | HCLTECH
8%₹324 Cr3,165,807
↑ 360,000
Tata Consultancy Services Ltd (Technology)
Equity, Since 30 Sep 19 | TCS
7%₹271 Cr854,884
↑ 129,699
Persistent Systems Ltd (Technology)
Equity, Since 31 May 20 | PERSISTENT
5%₹205 Cr652,793
↑ 154,488
Cyient Ltd (Industrials)
Equity, Since 30 Jun 18 | CYIENT
3%₹126 Cr1,278,458
↑ 368,478
Cognizant Technology Solutions Corp A (Technology)
Equity, Since 31 Jul 21 | CTSH
3%₹115 Cr210,000
↑ 210,000
Indian Railway Catering And Tourism Corp Ltd (Industrials)
Equity, Since 31 Dec 20 | 542830
3%₹114 Cr490,609
↓ -23,000
Wipro Ltd (Technology)
Equity, Since 30 Sep 19 | 507685
3%₹107 Cr1,821,450
Coforge Ltd Shs Dematerialised (Technology)
Equity, Since 31 Jul 20 | 532541
2%₹98 Cr192,594
↓ -53,375

2. Aditya Birla Sun Life Digital India Fund

(Erstwhile Aditya Birla Sun Life New Millennium Fund)

A multi-sector open-ended growth scheme with the objective of long term growth of capital, through a portfolio with a target allocation of 100% equity, focusing on investing in technology and technology dependent companies, hardware, peripherals and components, software, telecom, media, internet and e-commerce and other technology enabled companies. The secondary objective is income generation and distribution of dividend.

Aditya Birla Sun Life Digital India Fund is a Equity - Sectoral fund was launched on 15 Jan 00. It is a fund with High risk and has given a CAGR/Annualized return of 12.9% since its launch.  Ranked 33 in Sectoral category.  Return for 2020 was 59% , 2019 was 9.6% and 2018 was 15.6% .

Below is the key information for Aditya Birla Sun Life Digital India Fund

Aditya Birla Sun Life Digital India Fund
Growth
Launch Date 15 Jan 00
NAV (22 Sep 21) ₹138.27 ↑ 2.12   (1.56 %)
Net Assets (Cr) ₹2,288 on 31 Aug 21
Category Equity - Sectoral
AMC Birla Sun Life Asset Management Co Ltd
Rating
Risk High
Expense Ratio 2.56
Sharpe Ratio 6.14
Information Ratio 0.87
Alpha Ratio 30.67
Min Investment 1,000
Min SIP Investment 1,000
Exit Load 0-365 Days (1%),365 Days and above(NIL)

Growth of 10,000 investment over the years.

DateValue
31 Aug 16₹10,000
31 Aug 17₹10,447
31 Aug 18₹15,844
31 Aug 19₹15,374
31 Aug 20₹18,971
31 Aug 21₹37,429

Aditya Birla Sun Life Digital India Fund SIP Returns

   
My Monthly Investment:
Investment Tenure:
Years
Expected Annual Returns:
%
Total investment amount is ₹300,000
expected amount after 5 Years is ₹657,502.
Net Profit of ₹357,502
Invest Now

Returns for Aditya Birla Sun Life Digital India Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 22 Sep 21

DurationReturns
1 Month 8.8%
3 Month 23.8%
6 Month 42.1%
1 Year 94.5%
3 Year 36.8%
5 Year 31.8%
10 Year
15 Year
Since launch 12.9%
Historical performance (Yearly) on absolute basis
YearReturns
2020 59%
2019 9.6%
2018 15.6%
2017 22.4%
2016 -3.5%
2015 11.2%
2014 21.1%
2013 50.2%
2012 3.7%
2011 -21.8%
Fund Manager information for Aditya Birla Sun Life Digital India Fund
NameSinceTenure
Kunal Sangoi15 Jan 147.55 Yr.

Data below for Aditya Birla Sun Life Digital India Fund as on 31 Aug 21

Equity Sector Allocation
SectorValue
Technology70.66%
Communication Services14.02%
Industrials7.59%
Consumer Cyclical0.88%
Asset Allocation
Asset ClassValue
Cash6.85%
Equity93.15%
Other0%
Top Securities Holdings / Portfolio
NameHoldingValueQuantity
Infosys Ltd (Technology)
Equity, Since 30 Apr 05 | INFY
18%₹360 Cr2,235,259
HCL Technologies Ltd Shs Dematerialised (Technology)
Equity, Since 31 Dec 10 | HCLTECH
10%₹189 Cr1,843,931
↑ 700,000
Tata Consultancy Services Ltd (Technology)
Equity, Since 30 Apr 05 | TCS
9%₹180 Cr569,487
↑ 70,000
Tech Mahindra Ltd (Technology)
Equity, Since 31 May 13 | 532755
9%₹178 Cr1,469,943
↑ 50,000
Cyient Ltd (Industrials)
Equity, Since 31 May 14 | CYIENT
5%₹89 Cr901,179
↑ 18,570
Bharti Airtel Ltd (Communication Services)
Equity, Since 31 Aug 19 | BHARTIARTL
4%₹86 Cr1,526,670
↑ 459,733
Persistent Systems Ltd (Technology)
Equity, Since 31 Jul 13 | PERSISTENT
4%₹73 Cr231,326
Just Dial Ltd (Communication Services)
Equity, Since 30 Sep 19 | 535648
3%₹64 Cr658,953
Firstsource Solutions Ltd (Technology)
Equity, Since 31 Aug 20 | 532809
3%₹51 Cr2,605,109
Wipro Ltd (Technology)
Equity, Since 31 Jan 21 | 507685
2%₹46 Cr789,307

3. TATA Digital India Fund

The investment objective of the scheme is to seek long term capital appreciation by investing atleast 80% of its net assets in equity/equity related instruments of the companies in Information Technology Sector in India.However, there is no assurance or guarantee that the investment objective of the Scheme will be achieved.The Scheme does not assure or guarantee any returns.

TATA Digital India Fund is a Equity - Sectoral fund was launched on 28 Dec 15. It is a fund with High risk and has given a CAGR/Annualized return of 26.3% since its launch.  Return for 2020 was 54.8% , 2019 was 7.5% and 2018 was 24.9% .

Below is the key information for TATA Digital India Fund

TATA Digital India Fund
Growth
Launch Date 28 Dec 15
NAV (22 Sep 21) ₹38.102 ↑ 0.52   (1.38 %)
Net Assets (Cr) ₹2,768 on 31 Aug 21
Category Equity - Sectoral
AMC Tata Asset Management Limited
Rating Not Rated
Risk High
Expense Ratio 1.73
Sharpe Ratio 4.67
Information Ratio -0.16
Alpha Ratio 15.6
Min Investment 5,000
Min SIP Investment 500
Exit Load 0-3 Months (0.25%),3 Months and above(NIL)

Growth of 10,000 investment over the years.

DateValue
31 Aug 16₹10,000
31 Aug 17₹9,924
31 Aug 18₹16,358
31 Aug 19₹16,028
31 Aug 20₹17,912
31 Aug 21₹37,162

TATA Digital India Fund SIP Returns

   
My Monthly Investment:
Investment Tenure:
Years
Expected Annual Returns:
%
Total investment amount is ₹300,000
expected amount after 5 Years is ₹673,113.
Net Profit of ₹373,113
Invest Now

Returns for TATA Digital India Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 22 Sep 21

DurationReturns
1 Month 10.7%
3 Month 28.5%
6 Month 46.4%
1 Year 100.1%
3 Year 35.5%
5 Year 32.2%
10 Year
15 Year
Since launch 26.3%
Historical performance (Yearly) on absolute basis
YearReturns
2020 54.8%
2019 7.5%
2018 24.9%
2017 19.6%
2016 -6%
2015
2014
2013
2012
2011
Fund Manager information for TATA Digital India Fund
NameSinceTenure
Meeta Shetty20 Apr 201.28 Yr.
Venkat Samala26 Nov 200.68 Yr.

Data below for TATA Digital India Fund as on 31 Aug 21

Equity Sector Allocation
SectorValue
Technology75.73%
Communication Services8.13%
Industrials7.41%
Consumer Cyclical2.39%
Asset Allocation
Asset ClassValue
Cash6.33%
Equity93.67%
Top Securities Holdings / Portfolio
NameHoldingValueQuantity
Infosys Ltd (Technology)
Equity, Since 31 Jan 16 | INFY
17%₹371 Cr2,305,000
↑ 75,000
Tata Consultancy Services Ltd (Technology)
Equity, Since 31 Jan 16 | TCS
12%₹267 Cr843,126
↑ 30,000
HCL Technologies Ltd Shs Dematerialised (Technology)
Equity, Since 31 Jan 16 | HCLTECH
10%₹212 Cr2,064,713
↑ 740,972
Tech Mahindra Ltd (Technology)
Equity, Since 30 Apr 16 | 532755
7%₹154 Cr1,275,000
Persistent Systems Ltd (Technology)
Equity, Since 31 Jan 16 | PERSISTENT
4%₹96 Cr303,963
↓ -71,400
Indian Railway Catering And Tourism Corp Ltd (Industrials)
Equity, Since 31 Dec 20 | 542830
4%₹79 Cr338,816
↑ 135,000
Larsen & Toubro Infotech Ltd (Technology)
Equity, Since 28 Feb 21 | 540005
4%₹77 Cr163,331
↑ 25,000
Cyient Ltd (Industrials)
Equity, Since 28 Feb 21 | CYIENT
3%₹72 Cr733,339
↓ -50,000
L&T Technology Services Ltd (Technology)
Equity, Since 31 May 18 | LTTS
3%₹61 Cr163,500
↑ 39,000
Info Edge (India) Ltd (Communication Services)
Equity, Since 31 Aug 20 | NAUKRI
3%₹56 Cr107,330

Disclaimer:
All efforts have been made to ensure the information provided here is accurate. However, no guarantees are made regarding correctness of data. Please verify with scheme information document before making any investment.
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