What does XIRR stand for?

Extended Internal Rate of Return External Investment Rate of Return Extended Investment Rate of Return External Internal Rate of Return

Which return calculation method is recommended for SIP investments that are less than one year old?

Absolute Return CAGR XIRR Simple Interest

What is the primary purpose of both CAGR and XIRR in the context of investment analysis?

To determine the absolute profit earned To measure the rate of return over a multi-year period To calculate the initial investment amount To predict future market fluctuations

For lump sum investments that have been held for longer than a year, which return calculation method is generally preferred?

Absolute Return CAGR XIRR Simple Interest

In the context of investment returns, what does CAGR represent?

The total profit earned The average annual growth rate of the investment The initial investment amount The risk associated with the investment