Return on investment (ROI) and internal rate of return (IRR) are two important metrics used in evaluating investments. However, each metric is calculated differently and tells a different story. ROI ...

Barclay Palmer is a creative executive with 10+ years of creating or managing premium programming and brands/businesses across various platforms. Vikki Velasquez is a researcher and writer who has ...

Definition: The internal rate of return (IRR) is the discount rate that results in a net present value of zero for a series of future cash flows. What it means: It’s a cutoff rate of return; avoid an ...

Chris Gallant, CFA, is a senior manager of interest rate risk for ATB Financial with 10 years of experience in the financial markets. Suzanne is a content marketer, writer, and fact-checker. She holds ...

Net present value (NPV) represents the difference between the present value of cash inflows and outflows over a set time period. Knowing how to calculate net present value can be useful when choosing ...

Definition: The net present value (NPV) of an investment is the present (discounted) value of future cash inflows minus the present value of the investment and any associated future cash outflows.

Do you feel lost trying to decide what to invest in? What if you had a tool to help you identify the best potential path forward? That’s how you can look at the internal rate of return (IRR): as a ...

Looking forward when you are investing can be tricky. The future is never certain, and you might not always know every variable affecting your investments. Still, there’s a lot to gain by ...