Return Percentage Formula:
From: | To: |
Return percentage measures the profit or loss made on an investment relative to the amount invested. It's a key metric in the Indian share market to evaluate investment performance.
The calculator uses the return percentage formula:
Where:
Explanation: The formula calculates what percentage the current value is above or below the purchase price.
Details: Calculating returns helps investors compare performance across different investments, assess portfolio growth, and make informed buy/sell decisions in the Indian stock market.
Tips: Enter current price and purchase price in Indian rupees. Both values must be positive numbers, with purchase price greater than zero.
Q1: What does a negative return percentage mean?
A: A negative return indicates a loss - the current price is below the purchase price.
Q2: Does this include dividends or other benefits?
A: No, this calculates only price appreciation. Total return would include dividends, bonuses, etc.
Q3: How often should I calculate returns?
A: Regular monitoring (monthly/quarterly) is recommended, but avoid reacting to short-term fluctuations.
Q4: What's a good return percentage in Indian markets?
A: Historically, Indian equities have returned 12-15% annually long-term, but short-term returns vary widely.
Q5: Should I sell if returns are high?
A: Consider fundamentals, not just returns. High returns might indicate overvaluation or strong growth potential.