Urgent.News

What's breaking now, across thousands of outlets.

More in Finance & Markets

Explained: When should mutual fund investors use CAGR, XIRR or IRR to calculate returns?

CAGR, XIRR and IRR are commonly used to measure mutual fund returns, but each serves a different purpose. While CAGR is suited to lumpsum investments, XIRR helps calculate returns from irregular cash…

  • CAGR calculates average annual growth rate for lumpsum investments over specific periods
  • XIRR determines annualised returns for investments with irregular cash flows like SIPs
  • IRR evaluates profitability of investments considering timing of cash flows and discount rate

More from Saturday 19 September →