Returns and performance
What is XIRR?
XIRR is the yearly return on investments made at different dates, such as SIP instalments or top-ups. It is the right way to measure a SIP's return.
How it works
Each SIP instalment is invested for a different length of time, so dividing the total gain by the total invested understates the yearly return. XIRR finds the single yearly rate that, applied to every instalment from its own date, gives today's value.
Your Consolidated Account Statement and most fund apps show XIRR for your holdings. In a spreadsheet, the XIRR function does the same with your dates and amounts.
Example
You invest ₹10,000 a month for 36 months (₹3.6 lakh in all) and the holding is worth ₹4.5 lakh a month after the last instalment. The absolute gain is 25%, but the XIRR is about 15.0% a year, because much of the money was invested for less than three years.
SIP XIRR calculator
Monthly instalments, valued a month after the last one.
An illustration with the numbers you enter, not a forecast. Returns from mutual funds are not guaranteed.
Keep in mind
- XIRR on a short period swings a lot; judge SIPs over several years.
- Withdrawals are entered as money coming back to you, so XIRR also works with SWPs.
Questions people ask
Why is my SIP's XIRR higher than its absolute return divided by years?
Because later instalments have been invested for less time. XIRR accounts for that; simple division does not.
Is XIRR the same as CAGR?
For a single investment with no top-ups or withdrawals, yes. With several dated cash flows, only XIRR is correct.
Related terms
General information for education, not investment advice or a recommendation of any scheme. Mutual Fund investments are subject to market risks, read all scheme related documents carefully. Past performance may or may not be sustained in future. Last reviewed 25 October 2026.