An annual return, or annualized return, is a percentage value that tells you how much an investment as increased in value on average per year over a period of time. Annual return can be a preferable ...

Every thriving business relies on a robust return on investment (ROI) to help gauge whether its investments are yielding a profit. Although you as an individual investor possess shallower pockets than ...

In order to make an educated decision when making any investment, you need to try to determine how much you could make on that investment. It’s also important to know how much you’ve made on the ...

When investing, especially in stocks, your returns can fluctuate wildly from year to year. For this reason, knowing an asset's return for a single year isn't too helpful when deciding whether or not ...

Annual return shows how an investment performs over a period of time. The annual return is a percentage, so companies are able to compare the return on two investments with different initial cash ...

Compound annual growth rate (CAGR) measures the overall investment return over a period of time. To calculate it, you must know the beginning value, end value (or ending balance), and the number of ...

Holding period return measures total gains or losses over the period you own an investment. To calculate, add any investment income to final value, divide by initial investment. Annualized return can ...

If your business makes investments in equipment and employee benefit contributions, you may need to track the average annual rate of return over a span of time for financial reporting obligations.