XIRR vs CAGR: Why Your SIP's Real Return Is Different

CAGR works only for a single lump sum; use XIRR the moment you add SIPs or withdrawals

XIRR weights each instalment by how long it stayed invested, so it reflects your real money

Absolute return ignores time and flatters long-held funds; never compare funds on it

A fund's brochure CAGR is rarely the return you earned through monthly SIPs

Check XIRR in your CAS or app, and judge equity funds over 5-7 years, not months

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