CAGR
Returns the Compound Annual Growth Rate, which represents the smoothed annualized return.
Syntax
=CAGR()Examples
=CAGR()When to Use
- Long-term performance comparison
- Annualized return calculation
- Investment growth analysis
When NOT to Use
| Scenario | Use Instead |
|---|---|
| Period returns | MonthlyReturns() |
| Cumulative wealth | WealthIndex() |
Common Issues & FAQ
How is CAGR different from average return?
CAGR accounts for compounding; average return doesn't.
Excel Templates Using CAGR
These ready-made MarketXLS templates call CAGR() in their worksheet formulas. Open one to see the function working inside a complete model.
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