Compound Annual Growth Rate (CAGR) is a business and investing specific term for the geometric mean growth rate on an annualized basis. It represents the smoothed annualized gain earned over the investment time horizon. CAGR is not an accounting term, but remains widely used, particularly in growth industries or to compare the growth rates of two investments because CAGR dampens the effect of volatility of periodic returns that can render arithmetic means irrelevant. CAGR is often used to describe the growth over a period of time of some element of the business, for example revenue, units delivered, registered users, etc.
Citibank's Common Stock Fund Reflects Faith in the Economy; Industries in Portfolio Include Papers, Chemicals, Transportation, and Machinery, Reports Fund Manager
Mar 29, 1984; NEWYORK -- Almost 30% of Citibank's $330 million Common Stock Fund is invested in basic industry stocks. This emphasis is a...