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All content on this website ("the Site") is the property of Spring Launch Media LLC. The collection and assembly of content on this Site are the exclusive property of Spring Launch Media LLC and are protected by copyright and other intellectual property laws. Credit union and bank data is publicly sourced from the U.S. government. None are affiliated with Asset Brief. assetbrief.com is an independent, advertising-supported publisher. We work hard to keep our information accurate and up to date, but do not guarantee accuracy of information. You may see different information when you visit a specific product’s site. assetbrief.com does not warrant or assume any legal liability or responsibility for the accuracy, completeness, or usefulness of any information disclosed. assetbrief.com does not assume any responsibility for any aspect of financial decisions taken based on the contents provided on this Site. When considering offers, please review all Terms and Conditions with the offering institution. Our content is not intended to provide investment advice. assetbrief.com is compensated through display advertising and offers from our partners. Many or all of the products features may be from our partners, and advertising may impact on where, how, and the order in which products appear on this Site. AssetBrief does not include all companies or all available products. However, this does not influence our editorial content or our advice, which are based on industry knowledge and many many hours of research. assetbrief.com is a participant in the Amazon Services LLC Associates Program, an affiliate advertising program designed to provide a means for sites to earn advertising fees by advertising and linking to Amazon.com.

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Return on Investment (ROI) Calculator

Our simple and free ROI calculator will tell you what the total and annualized ROI are on your investment. Simply enter the initial investment amount, final investment value, and investment time.
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$
$
years
Investment Gain
$3,000
Total ROI
60%
Return on investment
Annualized ROI
9.86%
Investment time
5 years

A starting investment worth $5,000 that sold for $8,000 after 5 years has a total ROI of 60% and an annualized ROI of 9.86%.

Investment breakdown
Invested
62%
Investment gain
38%
Profit calculations
$8,000
$5,000
$3,000
ROI calculations
$3,000
$5,000
60%

What is ROI?

Return on investment, or ROI, is a a performance measure that looks at how much profit an investment generates. The more profit an investment can generate, the higher the ROI. The less profit, the lower the ROI.

ROI is expressed in percentage form. For example, an investment could have an ROI of 10% or 80%.

ROI formula

The ROI formula is:



The investment is the initial amount of money you invested in a project. The return is the profit or loss you made on that investment.

For example, if you invested $100 in the stock market and a year later it grew to $140, then your investment is $100 and your return is $40. Your ROI would be 40%.

How is ROI used?

ROI can be used to evaluate competing uses of money.

For example, for an individual, you might have multiple stocks you are interested in investing in. You should put your money in the one that will give you the highest ROI. This is the highest and best use of your money.

For a business, ROI might be used to evaluate a social marketing campaign. A company that spent $15,000 on a social media campaign would want to know how many customers and purchase orders resulted from that campaign. If the ROI of the campaign was high, then the business may want to run the campaign again.

What are ways a business can increase ROI?

There are many levers a business can pull to increase ROI. Increasing ROI can be done through increasing the return or decreasing the investment size. Both require a business to be more efficient in how it uses its money.

Tactics to increase ROI include:

  • Increases prices
  • Reducing overhead
  • Controlling expenses

Asset Brief is an independent publisher focused on helping you improve your financial decisions. Some of the products featured may be from our partners. This does not influence our reviews, which are based on many hours of research.