Multi-Period Return Compounder
Link up to five returns (positive or negative) into the geometric total and the per-period average.
Results
Fill in the inputs and click Calculate.
- Total Return
- –
- Geometric Mean
- –
Risk disclaimer
Faithful to the compounding path; bigger losses make recovery harder.
Why not add them?
Returns compound: +50% then −50% is not back to zero but −25%. Multiplying (1+r₁)(1+r₂)−1 gives the true total.
The geometric mean is the constant per-period return that produces the same total.
How to use
- Enter each period's return (%) — negatives allowed.
- Empty periods are ignored.
- Click Calculate for the total and the geometric mean.
Formula
- Total = ∏(1 + rᵢ) − 1
- Geometric mean = (∏(1 + rᵢ))^(1/n) − 1
Example
+10%, −10%, +20% → total = 1.1×0.9×1.2 − 1 = 18.8%.
A −100% period zeroes the capital, so the compounding is rejected.
FAQ
Calendar mismatch?
Periods are treated as equal length; normalize lengths before entering.