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Average return calculator

Compare the arithmetic mean of periodic returns with their compound, geometric return.

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Average return calculator processes your input in this browser. Inputs and results are excluded from analytics. Recent tools save tool names, visit counts and last-visit times. Saved tools store only their names. Draft saving is optional and stays on this device; delete saved text with the draft controls. Loading text from a URL is optional and contacts that server; its URL and your IP address are visible to the server. An optional “Use in” action keeps a handoff in this tab. The next tool removes it on arrival and ignores it if more than a minute has passed.

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Answer

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Compare the arithmetic mean of periodic returns with their compound, geometric return.

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Precision and calculation record
Rounding changes displayed numbers, not the calculation. Text, fractions, matrices and CSV schedules keep their own formatting. Automatic keeps up to 12 significant digits, with money shown to cents where applicable.
Saved scenario
Save the current answer, then change an input to compare. This clears when you leave.
Formula and assumptions
Periods have equal length and no deposits or withdrawals. A total loss gives a geometric return of −100%. Arithmetic mean does not describe compound growth. Fixed assumptions only: no taxes, fees, changing returns, guarantees or product eligibility. Amounts share one currency.
In a list, use spaces, new lines, semicolons, or commas followed by a space. A comma between groups of three digits is a thousands separator.
Automatic precision shows numbers to 12 significant digits. Thousands separators such as 1,000 are accepted; use a dot for decimals.
Scratch calculator
Use +, −, ×, ÷, parentheses and %. A percentage is divided by 100. This does not change the main tool.
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Using Average return calculator
Compare the arithmetic mean of periodic returns with their compound, geometric return.
Periods have equal length and no deposits or withdrawals. A total loss gives a geometric return of −100%. Arithmetic mean does not describe compound growth. Fixed assumptions only: no taxes, fees, changing returns, guarantees or product eligibility. Amounts share one currency.
Next: Calculate CAGR
A worked example
Example inputs: periodic returns (%) = 10, -10. Arithmetic average return (%) = 0.
Before you use the result
Periods have equal length and no deposits or withdrawals. A total loss gives a geometric return of −100%. Arithmetic mean does not describe compound growth. Fixed assumptions only: no taxes, fees, changing returns, guarantees or product eligibility. Amounts share one currency.
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ToolOctopus. “Average return calculator.” Updated 2026-09-26. https://tooloctopus.com/average-return-calculator.
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