What is XIRR?
XIRR, or extended internal rate of return, is the yearly return on investments made on different dates and in different amounts. It is the right way to measure SIP returns, because each instalment was invested for a different length of time.
How to use this calculator
- Add each investment with its date as money out.
- Add the current value (today's date) or any money you took out as money in.
- Read your yearly return.
New to these words? See the money glossary.
Common questions
Why is XIRR different from absolute return?
Absolute return ignores time. XIRR accounts for how long each amount was invested, so it is the fairer yearly figure.
Can XIRR be negative?
Yes, if the current value is less than what you put in.
How do I use an XIRR calculator for SIP?
Enter each SIP instalment with its date as money out, and today's value with today's date as money in. The answer is your yearly SIP return.