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3. Compound Annual Growth Rate (CAGR)
The compound annual growth rate (CAGR) is a formula that calculates the annual growth rate of an investment using the compounding effect.
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What is Compound Annual Growth Rate (CAGR)?
The Compound Annual Growth Rate (CAGR) is an excellent tool for assessing how well your investments have performed over time or compared to a benchmark. It is among the most precise methods for calculating investment returns with potential value fluctuations. Through this blog, let us help you understand what CAGR is and how it works.