Mutual Fund XIRR Calculator

Compute the annualized yield of complex financial portfolios with irregular cash flows. Define your transactions and see your true return instantly.

Cash Flow Matrix

Transaction DateCapital (- for Invest)Del

Annualised Return (XIRR)

7.66%

Total Capital Invested

10,000

Ten Thousand

Total Value Redeemed

15,000

Fifteen Thousand

Net Profit: 5,000


What Is the Mutual Fund XIRR Calculator?

When you invest in mutual funds through SIP or make multiple lump sum investments at different times, calculating the true return requires a method that accounts for irregular timing of cash flows. Our Mutual Fund XIRR Calculator computes the annualized return using the XIRR function.

XIRR gives you the true time-weighted return by considering each cash flow on the date it occurred. This is more accurate than simple average return calculations because it accounts for the time value of each contribution.

Mutual fund investors, especially those with multiple SIPs, step-up SIPs, or irregular lump sum investments, will benefit from calculating their portfolio true XIRR.

How to Use This Calculator

1

Step 1

Enter each investment or withdrawal transaction with the date and amount.

2

Step 2

Enter the current value of your portfolio as the final entry.

3

Step 3

The calculator computes the XIRR automatically.

4

Step 4

Review the annualized return percentage.

5

Step 5

Compare XIRR with the fund benchmark to evaluate performance.

Real-World Example

Monthly SIP

10,000 for 12 months

Lump Sum

50,000 in March 2023

Current Portfolio Value

1,82,000

XIRR

13.2%

Fund 1-Year Return

11.5%

The Mathematics Behind XIRR Calculation

XIRR computes the annualized return by solving for the rate that makes the net present value of all cash flows equal to zero:

Σ(C_i / (1 + r)^(d_i/365)) = 0, where C_i are cash flows and d_i are days from the start
C_i= Each cash flow (positive for investments, negative for withdrawals)
r= Annualized XIRR being solved for
d_i= Days from the first cash flow to cash flow i

Frequently Asked Questions

CAGR assumes a single lump sum investment. XIRR accounts for multiple cash flows at different times. For SIPs, XIRR is the correct metric.

Yes, XIRR works for any investment with irregular cash flows: stocks, real estate, private equity, and even loan repayments.

The fund return is based on NAV performance. Your XIRR depends on when you invested and withdrew. Investor returns often differ from fund returns due to timing.

Yes, XIRR can be negative if the current portfolio value is less than the total invested amount when adjusted for timing. A negative XIRR indicates the investment has lost value on an annualized basis over the holding period.

Calculate XIRR at least once a year to track your portfolio performance. Many investors review XIRR quarterly. Frequent calculation helps you identify underperforming investments early and make informed rebalancing decisions.

A good XIRR for an equity mutual fund SIP over 5 years is 12-15%. For 3 years, 10-14% is reasonable given market cycles. Compare your XIRR against the fund's benchmark. A consistently lower XIRR than the benchmark suggests considering a switch to an index fund.

In Excel, list all investment dates and amounts as negative values with the current portfolio value as positive on the latest date. Use the formula =XIRR(values range, dates range, guess). The guess is optional (typically 0.10 for 10%). Excel iteratively solves for the rate.

Fund trailing returns assume a single investment at the start. Your XIRR depends on your specific investment dates and amounts. If you invested during market highs, your XIRR may be lower than fund returns. This is called "investor return vs fund return" and is common due to timing.

Yes, XIRR changes with the valuation date. A recent market high inflates XIRR, a low deflates it. For accurate comparison, always use the same end date when comparing multiple investments. The end date should reflect the most recent available NAV for all funds.

To calculate portfolio XIRR across multiple funds, enter ALL investments across all funds as negative values on their dates, and enter the TOTAL current portfolio value as positive on the current date. This gives the blended XIRR of your entire portfolio.

Key Takeaways

1

XIRR is the correct method for returns on investments with multiple cash flows.

2

XIRR accounts for both amount and timing of each transaction.

3

Fund returns and investor returns can differ significantly.

4

XIRR is the industry standard for mutual fund SIP performance.

5

Regular XIRR monitoring helps make informed investment decisions.

Why This Matters

Most investors put money in over time, not all at once. XIRR is the only honest way to measure your actual returns on SIP and multi-transaction investments.

This calculator is for educational and planning purposes. Consult a qualified professional for personalized advice.