# BEST 50 INVESTMENT CALCULATOR LIST | 4 BENEFITS IN 2023

## BEST 50 INVESTMENT CALCULATOR LIST | 4 BENEFITS IN 2023

INVESTMENT CALCULATOR | Let's learn what is investment calculator with a formula & what are the best 50 types of calculators. INVESTMENT CALCULATOR

### WHAT IS AN INVESTMENT CALCULATOR?

An investment calculator is a tool that allows you to input various parameters, such as the amount of money you plan to invest, the interest rate, and the length of time for which you plan to invest the money, and then calculates the expected return on your investment.

#### 4 BENEFITS OF USING AN INVESTMENT CALCULATOR

Determining the future value of investments: Investment calculators can help investors estimate the future value of their investments based on a variety of factors, such as the initial investment amount, interest rate, and length of time the investment is held.

Estimating the impact of contributions or withdrawals: Investment calculators can also help investors estimate the impact of making contributions or withdrawals from their investment accounts, which can be useful for budgeting and financial planning.

Evaluating different investment strategies: Investment calculators can help investors compare the performance of different investment strategies, such as stock market investing versus real estate investing, which can help them make informed decisions about where to put their money.

Setting realistic financial goals: Investment calculators can help investors set realistic financial goals by providing them with an estimate of how much they need to save in order to achieve their desired outcome.

#### HOW DO YOU CALCULATE INVESTMENT?

There are many ways to calculate investment returns, depending on the type of investment and the information that is available. Some common methods include:

Simple Interest: This method is used for investments that pay a fixed rate of interest. The formula is:

Interest = Principal x Rate x Time

Compound Interest: This method is used for investments that pay interest on both the principal and the accumulated interest.

The formula is- A = P (1 + r/n)^(nt), where A is the future value of the investment, P is the principal, r is the annual interest rate, n is the number of times that interest is compounded per unit t, and t is the time the money is invested for.

Internal Rate of Return (IRR): This method is used to calculate the rate at which the net present value (NPV) of an investment equals zero. It is used to evaluate the profitability of potential investments.

Net Present Value (NPV): This method is used to calculate the present value of an investment's expected future cash flows, minus the initial investment. It is used to evaluate the profitability of potential investments.

Price to Earnings Ratio (P/E ratio): This method is used to evaluate a company's current share price relative to its per-share earnings. It is used to determine whether a stock is overvalued or undervalued.

It is important to note that these are just some of the ways to calculate investment returns, and different methods may be more appropriate for different types of investments.

#### WHAT ARE THE 10 TYPES OF INVESTMENTS?

There are many different types of investments, but ten common categories include:

Cash and cash equivalents: These include investments such as savings accounts, money market funds, and short-term government bonds. They are considered to be the least risky investments and typically provide low returns.

Bonds: Bonds are debt securities that are issued by governments and corporations. They pay a fixed rate of interest and return the principal when they mature. They are considered to be less risky than stocks but more risky than cash and cash equivalents.

Stocks: Stocks are equity securities that represent ownership in a publicly traded company. They can provide higher returns than bonds or cash, but they also come with higher risk.

Real estate: Real estate investments can include buying property to rent out, investing in real estate investment trusts (REITs) or participating in real estate crowdfunding. They tend to be more illiquid than other types of investments and they also tend to be more difficult to value.

Mutual Funds: A mutual fund is a specific kind of investment vehicle that assembles a pool of money from numerous individuals with the intention of investing in securities like stocks, bonds, money market instruments, and similar assets.

Exchange-Traded Funds (ETFs): ETFs are a type of investment fund that is traded on stock exchanges, much like stocks. They offer diversification and can track an index, a commodity, or a basket of assets like an index fund.

Certificates of Deposit (CDs): A certificate of deposit is a type of time deposit offered by banks, which generally offers a higher interest rate than a savings account.

Options: Contracts known as options grant the holder the right, but not the duty, to purchase or sell an underlying asset at a predetermined price on or before a particular date.

Futures: A future is a type of financial contract obligating the buyer to purchase an asset or the seller to sell an asset, such as a commodity or currency, at a predetermined future date and price.

Cryptocurrency: Cryptography is used to secure digital or virtual currencies such as cryptocurrency. The two most well-known types of cryptocurrencies are Bitcoin and Ethereum. They are viewed as very risky investments that are high on speculation.

It's worth noting that these are just examples, and there are many other types of investments available, each with its own unique characteristics and risks.

### FORMULA FOR RETURN ON INVESTMENT CALCULATOR WITH EXAMPLE

Are you thinking how I calculate my return on investment? Then let's learn how to calculate with this easy formula.

The most basic formula for calculating the return on investment (ROI) is:

ROI = (Gain from Investment - Cost of Investment) / Cost of Investment

The percentage return on investment is determined using this formula. You multiply the result by 100 to obtain the final ROI.

Here is an example:

After a year, an investor sells a stock for \$120 after purchasing it for \$100.

The gain from the investment is \$20

The cost of investment is \$100

The ROI is (20-100) / 100 = -0.8 x 100 = -80%

This means that the investment generated a negative return of 80%

Alternatively, you can use the following formula to calculate the annualized ROI:

Annualized ROI = ((Ending value / Beginning value)^(1/n)) - 1

Where:

The investment's final value is its ending value.

Beginning value is the investment's initial value, and n is the number of holding periods (measured in years) for the investment.

It's important to keep in mind that this is only a basic formula for determining ROI; in more complicated situations, alternative approaches may be required based on the particulars of the investment.

#### WHICH IS THE BEST INVESTMENT CALCULATOR?

There are many investment calculators available online that can help you calculate returns and track your investments. Some popular investment calculators include:

Bankrate's Investment Calculator: This calculator allows you to input information such as initial investment, annual contribution, and interest rate to see the potential growth of your investment over time.

Investopedia's Investment Calculator: This calculator allows you to input information such as initial investment, annual contribution, and expected rate of return to see the potential growth of your investment over time.

Morningstar's Investment Calculator: This calculator allows you to input information such as initial investment, annual contribution, and expected rate of return to see the potential growth of your investment over time.

SmartAsset's Investment Calculator: This calculator allows you to input information such as initial investment, annual contribution, and expected rate of return to see the potential growth of your investment over time.

It's worth noting that the best investment calculator is one that suits your specific needs, such as the type of investment, the length of time you plan to invest, and your risk tolerance.

Many online calculators are free and easy to use, and you can use multiple calculators to compare the results.

### 50 TYPES OF INVESTMENT CALCULATORS LIST

 Retirement calculators. Compound interest calculators. Mutual fund calculators. Stock return calculators. Bond yield calculators. Real estate calculators. Tax calculators. Risk calculators. Asset allocation calculators. Net worth calculators. Inflation calculators. College savings calculators. Annuity calculators. Portfolio performance calculators. Cost of living calculators. Housing affordability calculators. Income tax calculators. Savings goal calculators. Time value of money calculators. Capital gains tax calculators. Credit card payoff calculators. Home mortgage calculators. Auto loan calculators. Currency exchange calculators. Options calculators. ETF calculators. CD calculators. Savings bond calculators. Mortgage refinance calculators. 401(k) calculators. Roth IRA calculators. Traditional IRA calculators. Stock option calculators. Foreign exchange calculators. Mutual fund expense ratio calculators. Stock return on investment calculators. Property rental income calculators. Stock option strike price calculators. Retirement withdrawal calculators. Investment property calculators. Stock profit calculators. Capital gains and losses calculators. Stock market index calculators. Stock split calculators. Capital gains tax rate calculators. Stock option grant calculators. Stock option exercise calculators. Stock option expiration calculators. Stock dividend calculators. Stock buyback calculators.

It's worth noting that there may be other types of investment calculators available, and the specific features of each calculator may vary.

These calculators can provide a rough estimate of the expected return and also help to plan your investment strategy accordingly.

They are useful tools for investors to make informed decisions. However, it is important to keep in mind that these are assumptions based on historical data, and the actual outcome may vary.

It's always recommended to consult with a financial advisor before making any investment decisions.

Conclude – Here I have explained in complete detail about is investment calculator with benefits for beginners.

DECLAIMER – THIS INFORMATION HAS BEEN SHARED ACCORDING TO MY BEST KNOWLEDGE   I AM NOT RESPONSIBLE IF YOUR INVESTMENT IS LOST. CHECK BEFORE INVENTING YOUR MONEY AND GET THE LATEST ROI.