TB_Research

Annualized Return

This is a straightforward tool for investors, offering the capability to select a specific start date and visualize the annualized return of the currently displayed asset.

Annualized return is a crucial metric for investors, as it provides a standardized measure of an investment's performance, making it easier to compare different investments. By annualizing returns, investors can gain insights into the average yearly growth rate of their investments, enabling more informed decision-making and portfolio management.

Selecting various start dates enables users to understand how market timing can influence the success of their investments.

The annualized return is calculated using the following formula :

AnnualizedReturn = (Ending price / Beginning price) ^ (1 / Number of Years) − 1
Open-source script

In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in a publication is governed by House Rules. You can favorite it to use it on a chart.

Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.

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