Simple compound growth method

Definition:

Calculating a growth rate by relating terminal value to initial value and assuming a constant percentage annual rate of growth between the two values.

Investing Essentials


Copyright © 2011 Campbell R. Harvey, Professor of Finance, Fuqua School of Business at Duke University

Term of the Day

Total return

In performance measurement, the actual rate of return realized over some evaluation period. In fixed income analysis, the potential return that considers all three sources of return (coupon interest... Read More

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