Holding Period Return Calculator
The Holding Period Return Calculator is a valuable tool for investors and financial analysts to calculate the return on an investment over a specific period. Holding Period Return (HPR) measures the total return earned from an asset, considering income and capital gains or losses over the holding period.
What is Holding Period Return?
Holding Period Return (HPR) is a simple yet effective metric used to evaluate the performance of an investment. It is expressed as a percentage and includes the income generated (like dividends or interest) as well as any changes in the value of the investment.
Calculator
Formula for Holding Period Return
The formula to calculate HPR is as follows:
HPR = [(End Value of Investment - Initial Value of Investment + Income Received) / Initial Value of Investment] x 100
How to Use the Holding Period Return Calculator
Using the HPR Calculator is easy. Simply follow these steps:
- Enter the initial value of your investment.
- Input the end value of your investment.
- Add any income received during the holding period (e.g., dividends).
- Click "Calculate" to see the HPR percentage.
Why is Holding Period Return Important?
The Holding Period Return is crucial for understanding the profitability of an investment. It helps in:
- Comparing the performance of different investments.
- Evaluating short-term and long-term returns.
- Making informed investment decisions.
Benefits of Using an Online Holding Period Return Calculator
An online HPR calculator simplifies the process of calculating investment returns. It saves time and ensures accuracy, allowing you to focus on analyzing the results and planning your investment strategy.
Start Calculating Your Returns
Try our Holding Period Return Calculator today and take the guesswork out of evaluating your investments. Visit our HPR Calculator Tool to get started.