Calculate the exact annualised return (XIRR) of your SIP, mutual fund, or any portfolio with irregular cash flows. More accurate than CAGR for real-world investments.
💡 XIRR is computed iteratively; results may slightly differ from Excel depending on transaction timing.
⚠️ Portfolio curve is simulated using XIRR (not actual NAV history)
XIRR is the most accurate way to measure returns on real-world investments — especially SIPs and portfolios with irregular cash flows.
XIRR finds the discount rate r that makes the Net Present Value (NPV) of all your cash flows equal to zero. Unlike CAGR, it handles irregular dates and multiple investments/withdrawals perfectly.
Where CFi = cash flow on date di, d0 = first date, solved iteratively via Newton-Raphson
Example: You invest ₹10,000/month from Jan 2022 to Dec 2024 (36 months = ₹3,60,000 total). Current value = ₹5,20,000.
CAGR measures return from a single start to a single end point (lump-sum only). XIRR handles multiple cash flows at irregular dates — exactly how SIPs and real portfolios work.
Always use XIRR for SIPs. CAGR is only correct for true lump-sum investments.
Nifty 50 SIP XIRR over 10+ years has historically been ~12–14%.
XIRR has quirks to watch out for:
Compare your XIRR against the same-period fund NAV CAGR to judge fund performance separately from your timing.
Three return metrics — choose correctly:
Mutual fund factsheets show TWRR/NAV CAGR. Your personal return is XIRR.
XIRR is a built-in function: =XIRR(values, dates, [guess])
Pro tip: Casually add a row with today's NAV × units as a positive value to see your live XIRR even if you haven't redeemed.
Step-up SIPs (increasing amount annually) affect XIRR calculation significantly:
Use Step-up mode in this calculator to model the realistic impact on your XIRR.
Understanding when to use which return metric to evaluate your investments.
| Feature | 📐 XIRR | 📈 CAGR | 💰 Absolute Return |
|---|---|---|---|
| Best for | SIPs, irregular cashflows | Lump-sum investments | Quick snapshot |
| Accounts for timing? | ✅ Yes | ✅ Partially | ❌ No |
| Accounts for multiple cashflows? | ✅ Yes | ❌ No | ❌ No |
| Annualised rate? | ✅ Yes | ✅ Yes | ❌ No (total %) |
| Usable for redemptions? | ✅ Yes | ❌ No | ❌ No |
| Mutual fund reports use | Your personal return (XIRR) | NAV CAGR on factsheet | Short-term marketing |
| Complexity | Iterative algorithm | Simple formula | Very simple |
XIRR (Extended Internal Rate of Return) calculates the annualised return for investments with multiple cash flows at irregular dates — like monthly SIPs. CAGR works only for a single lump-sum investment with one start and one end point. For SIPs or any investment with multiple installments or withdrawals, XIRR is the correct and more accurate metric.
XIRR finds the rate r that makes the Net Present Value (NPV) of all cash flows equal to
zero:
NPV = Σ [ CFi / (1 + r)(di − d0)/365 ] = 0.
Each investment is a negative cash flow and each redemption (or current value) is a positive cash flow.
The rate is solved iteratively using the Newton-Raphson method.
For equity mutual fund SIPs in India over long periods (5+ years), an XIRR of 12–15% is considered good and aligns with the historical Nifty 50 long-term return. XIRR above 15% is excellent, 8–12% is acceptable, and below 6% (inflation level) means your real wealth isn't growing meaningfully.
In SIP Mode, simply enter your monthly amount, start/end dates, and current portfolio value — the calculator auto-generates all cash flows. In Manual Mode, enter each investment as a negative amount and each redemption or the current portfolio value as a positive amount. Every row needs a date.
Mutual fund apps (Zerodha, Groww, etc.) show the fund's NAV CAGR on the factsheet — this measures how the fund itself performed. Your personal XIRR depends on when you invested. If you started a SIP right before a market rally, your XIRR will be higher. If you started before a crash, it'll be lower — even for the same fund.
Yes. Missing a monthly SIP instalment changes your actual cash flow pattern. For the most accurate XIRR, account for every actual payment. If you've regularly skipped months, use Manual Entry mode to input only the months where you actually invested, with the correct dates.
Absolutely — this is one of XIRR's key advantages over CAGR. Simply add each redemption as a positive cash flow on the date received, and enter the remaining current portfolio value as a final positive cash flow with today's date. The XIRR across all these cash flows gives you the true annualised return on your entire investment journey.
Very high XIRR (50%+) often occurs when the SIP duration is very short (under 6 months) — XIRR annualises even small gains into huge-looking rates. Negative XIRR means you have lost money overall. Ensure that your current portfolio value is entered correctly and that all outflows are negative. If you only have recent data, XIRR may not be representative of long-term performance.