What is a good CAGR for long-term investing? Is 5%, 8%, 10% or 12% considered strong performance? Discover how to evaluate compound annual growth rates against appropriate benchmarks, inflation, investment costs and portfolio risk — and why achieving a higher CAGR doesn’t automatically mean following a better investment strategy.

Most investors don’t actually know their true returns — they track prices, not performance. This guide explains how to calculate CAGR in Excel step-by-step, so you can measure your investment performance accurately and make more informed decisions.