Unlock the true value of your investment in seconds—no guesswork, just results.
Compute ROI from investment cost, returns, and optional fees. Optionally annualize ROI based on the holding period.
ROI = (Net Profit ÷ Cost of Investment) × 100 %
or
ROI = ((Final Value – Initial Investment – Fees/Costs) ÷ Initial Investment) × 100 %
Example:
Suppose you invest $10,000 and after one year your investment is worth $12,500, and you incurred $0 in additional fees.
Net Profit = $12,500 – $10,000 – $0 = $2,500
Cost of Investment = $10,000
ROI = ($2,500 ÷ $10,000) × 100 % = 25 %
Toggle Annualize ROI ON if you want the return expressed as a yearly rate (needs the holding period).
Leave it OFF to see simple ROI for the whole period.
- Return / Final Value: the amount you got back at the end (sale proceeds or current value).
- Fees & Other Costs (optional): add commissions, management fees, taxes, etc.
Toggle Show decimals if you want more exact percentages and ratios.
The tool computes ROI (%), ROI (x multiple), Annualized ROI (%) (if enabled), and breaks down Net Profit, Category, and your input amounts.
- ROI (x): total multiple of money (e.g., 1.25× means a 25% gain).
- Annualized ROI: the ROI converted to a yearly rate based on your holding period.
- Net Profit: Final Value − Initial Investment − Fees.
Example: Initial $10,000, Final $12,500, $0 fees → ROI = 25% (1.25×), Net Profit = $2,500; with a 1-year holding period, Annualized ROI = 25%.
You’ll need to enter your Initial Investment, the Return or Final Value, any Fees & Other Costs, and the Holding Period (years). The calculator then computes your net profit (Final Value minus Investment minus Costs), your raw ROI (net profit divided by Investment × 100 %), and — if you enable it — the Annualised ROI which adjusts for the time period.
Annualised ROI converts the return you earned over multiple years into an equivalent per-year rate, making it easier to compare investments with different durations. The basic ROI formula doesn’t account for time, so two investments with the same ROI but holding periods of one year vs five years aren’t equally attractive.
The calculation assumes you’ve correctly captured all costs, returns, and the holding period. But ROI doesn’t capture risk, timing of cash flows, or ongoing contributions. Also, unusual or hidden fees can distort the result. For deeper analysis you may need tools like the IRR calculator or the NPV calculator.
A positive ROI means your return exceeded the investment cost; a negative ROI means you lost money. Use the ROI percentage and annualised rate to judge whether the investment meets your target return or compares favourably with alternatives. Also consider context: sector, duration, risk, and benchmark performance.