CAGR vs XIRR: Which One Matters More for SIP Investors?

If you’ve ever tried to evaluate your mutual fund returns, you’ve likely come across two commonly used return metrics, i.e, CAGR (Compound Annual Growth Rate) and XIRR (Extended Internal Rate of Return). While both measure returns, they’re not interchangeable. Understanding the difference ensures you don’t misinterpret your actual performance.

In this article, we’ll clarify what is XIRR and CAGR, how each one works, their differences, and most importantly which one actually matters for SIP investors.

Read Full Article Here — https://ashvvyinvestment.com/cagr-vs-xirr-which-one-matters-more-for-sip-investors/