Investment Return Calculator
Calculate total return, gain or loss, and annualized return, including contributions, withdrawals, income, and fees.
Investment return inputs
Enter starting value, ending value, cash flows, income, fees, and holding period.
Initial investment value or purchase cost.
Current or final investment value.
Extra money added during the holding period.
Money taken out during the holding period.
Dividends, interest, rent, or other income paid out to you. Leave out income reinvested into the ending value.
Trading, platform, advisor, or other costs paid separately. Leave out fees already deducted from the ending value.
Use decimals for partial years, such as 2.5. Needed for annualized return and the benchmark.
Optional comparison return assumption.
Total return
28.33%
Positive return: The investment gained value after income, withdrawals, contributions, and fees.
Gain / loss
£3,400.00
Adjusted ending value minus invested capital.
Annualized return
5.12%
5 year holding period. Approximate: treats contributions as invested at the start and withdrawals and income as received at the end.
Adjusted ending value
£15,400.00
Ending value plus withdrawals and income, minus fees.
Invested capital
£12,000.00
Starting value plus additional contributions.
Growth multiple
1.28×
Adjusted ending value divided by invested capital.
Benchmark difference
-£1,430.62
Compared with 7.00% annual benchmark.
Fee drag
0.83%
Fees as a percentage of invested capital.
Support
Investment support layer
Return formula
Calculates gain, total return, annualized return, growth multiple, and benchmark comparison.
Estimate only
Results do not include tax rules, exact timing of cash flows, inflation, or market risk.
Decision support
Use this calculator to compare investments, review performance, and understand fee impact.
Interpretation
What these investment return results mean
Total return
Your total return is 28.33%, based on adjusted gain or loss of £3,400.00.
Annualized return
Over 5 years, the annualized return is approximately 5.12%.
Cash flows included
The calculation includes £2,000.00 in contributions, £0.00 in withdrawals, and £500.00 in income.
Benchmark comparison
At the benchmark rate, the comparable ending value would be about £16,830.62.
Basics
How investment return works
Invested capital
Invested capital includes the original amount plus any additional contributions.
Adjusted ending value
Ending value can be adjusted for withdrawals, dividends, income, and fees.
Return percentage
Return percentage compares gain or loss with invested capital.
Time period
Annualized return helps compare investments held for different lengths of time.
Comparison
Total return vs annualized return
Total return
28.33%
Total return measures the full gain or loss across the entire holding period.
Annualized return
5.12%
Annualized return smooths that performance into a yearly compound rate.
Risk
What investment return does not show
Volatility
Return does not show how much the investment moved up or down along the way.
Drawdowns
Two investments can have similar returns but very different temporary losses.
Taxes
Taxes can reduce after-tax return depending on account type, holding period, and location.
Inflation
Inflation reduces purchasing power, so nominal return is not the same as real return.
Cash-flow timing
Simple return may not fully capture exact deposit and withdrawal timing.
Benchmark relevance
A benchmark should match the asset class, risk level, and time horizon where possible.
Formula
Investment return formula explanation
Gain or loss
Gain / Loss = Adjusted Ending Value − Invested CapitalAdjusted ending value includes ending value plus withdrawals and income, minus fees.
Total return
Total Return = Gain / Loss ÷ Invested Capital × 100Total return shows the full percentage gain or loss over the selected period.
Annualized return
Annualized Return = (Adjusted Ending Value ÷ Invested Capital)^(1 / Years) − 1Annualized return converts total performance into a smoothed yearly compound rate. This simple version treats all invested capital as invested at the start and withdrawals and income as received at the end, so it is approximate when money moved in or out during the period.
FAQ
Investment return calculator questions
Investment return measures the gain or loss on an investment compared with the amount invested. It can be shown as a currency amount, total return percentage, or annualized return.
A simple investment return is gain or loss divided by invested capital. This calculator also lets you include contributions, withdrawals, dividends, income, and fees.
Total return includes price change plus income such as dividends or interest, minus fees. It gives a broader view than price return alone.
Annualized return converts a total return over a holding period into a smoothed yearly rate, making different time periods easier to compare.
They are closely related. Annualized return often uses the same compound annual growth rate logic when there are no complex interim cash flows.
Yes. If the adjusted ending value is lower than invested capital, the result is a loss and the return percentage is negative.
Yes. Dividends, interest, rent, distributions, and other investment income count toward total return. If income was reinvested, it is already part of the ending value, so only enter income paid out to you in the Dividends / income field.
Yes. Trading fees, fund fees, platform fees, and advisor fees reduce net return and can materially affect long-term results. Fees taken from the account are already reflected in the ending value, so only enter costs paid separately in the Fees / costs field.
No. It estimates pre-tax return unless you manually include taxes as fees or costs. Actual after-tax return depends on your location and account type.
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Estimate only. This calculator is for general planning and education, not financial, tax, investment, legal, lender, or professional advice. Future returns are uncertain. Assumed growth rates, dividends, prices, and fees do not guarantee future performance. Verify important decisions with a qualified professional, lender, official source, or relevant institution.