Explore commonly used personal finance terms.
The Average Annual Growth Rate (AAGR) measures the average yearly growth rate of an investment, company revenue, or economic indicator over a specific period. AAGR is calculated by taking the average of each year’s growth rate, providing a simple way to understand long-term growth trends. It is widely used in financial analysis to assess past performance or estimate future growth potential. AAGR is particularly useful for investors tracking the performance of stocks, mutual funds, or other financial assets over time.
