investing
CAGR (Compound Annual Growth Rate)
Definition & Industry Concept
Compound Annual Growth Rate (CAGR) represents the mean annual growth rate of an investment over a specified period of time longer than one year, assuming compound returns.
💡 Practical Market Application
An initial balance of $10,000 growing to $16,105 over 5 years reflects a consistent CAGR of 10% compounded annually.
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