Investment ROI Calculator

Optional

Optional, for annualized ROI

How the ROI Calculator Works

Return on investment is calculated as your net profit — final value minus your initial investment and any additional costs — divided by your total cost, expressed as a percentage. If you enter how long you held the investment, the calculator also works out an annualized ROI, so you can fairly compare investments held for different lengths of time.

This works for any investment with a clear start and end value: stocks, property, a business, or any other asset.

Frequently Asked Questions

What counts as "additional costs"?

Anything on top of the purchase price that reduces your real profit — brokerage fees, commissions, closing costs, or similar expenses.

What's the difference between ROI and annualized ROI?

ROI is your total return over the whole holding period. Annualized ROI converts that into an average yearly rate, which makes it possible to compare a 2-year investment fairly against a 10-year one.

Can ROI be negative?

Yes — a negative ROI simply means the final value (after costs) was lower than what you put in.

Related Calculators