Return on Investment ROI Calculator
Calculate ROI, net gain or loss after income and fees, and an approximate annualized return from initial cost, ending value and the investment holding period.
Enter the figures you want to check
Calculations run only in your browser. Values are neither saved nor sent to us.
Calculation results
Net gain or loss
SAR
Holding-period return
%
Approximate annualized return
%
How are the results calculated?
Gain = ending value + income − fees − initial cost.
Holding-period return = gain ÷ initial cost × 100.
Annualized return = ((1 + holding-period return as a decimal) to the power of (12 ÷ months) − 1) × 100.
Assumptions and limits
- Income and fees are grouped at period end; intermediate cash-flow timing is not modeled, so this is not an IRR. Taxes and inflation are excluded unless reflected in your inputs.
- Annualized return is a rounded mathematical measure, not a forecast or investment recommendation. It is undefined with zero initial cost or a negative net ending value.
Official source: FINRA — Return and rate of return
Understand the idea behind the calculation
Using the tool and understanding your results
Compare investment proceeds with the amount invested and the time held. Enter initial cost, ending value, distributions, fees and months to calculate net gain or loss, holding-period ROI and an approximate annualized equivalent from those inputs.
How do I calculate return on investment ROI?
Add ending value and income, then subtract fees and initial cost to find net gain. Divide gain by initial cost and multiply by 100. An SAR 10,000 cost, SAR 13,000 ending value and SAR 500 fees give SAR 2,500 gain and a 25% return.
What is the difference between holding-period and annualized return?
Holding-period return covers the months entered. Annualized return converts it mathematically to a yearly basis: ((1 + decimal holding-period return) raised to (12 ÷ months) − 1) × 100. Income and fees are grouped at the end; this is not IRR for dated cash flows.
Can return on investment be negative?
Yes. A net ending value plus income below the initial cost produces a loss and negative return. With an SAR 10,000 initial cost and SAR 9,000 ending value, with no income or fees, the loss is SAR 1,000 and ROI is -10%.