ROI (Return on Investment)
A percentage performance measure used to evaluate the efficiency and profitability of an investment.
In-Depth Explanation
Calculated by dividing net realized profit by initial capital outlay and multiplying by 100.
Practical Market Example
Real-World Application
Investing $2,000 and exiting at $3,200 produces a +$1,200 profit, representing a +60.0% ROI.