XIRR Calculator
Compute the annualised return of irregular cashflows — the true return of a SIP.
The real return of a SIP
Because SIP instalments are invested at different times, a simple CAGR overstates or understates the return. XIRR (extended internal rate of return) accounts for the exact timing of every cashflow, giving the true annualised return.
How it works
XIRR solves for the single annual rate that makes the present value of all cashflows (your instalments as outflows, the final value as an inflow) equal zero — computed here via Newton-Raphson iteration.
Frequently asked questions
XIRR vs CAGR?
CAGR assumes a single investment held for a period. XIRR handles multiple investments made at different dates, so it is the correct measure for SIPs and staggered buying.