Total Return

Total return measures the complete gain or loss on an investment over a given period, accounting for both capital appreciation (or depreciation) in the asset's price and all income received—such as dividends, interest, or capital gains distributions. It gives a more complete picture of investment performance than price return alone. For example, a stock that rises 8% in price while also paying a 2% dividend yield delivers a total return of 10%. For mutual fund investors in India, direct plan NAV returns are quoted as total returns, incorporating both the fund's capital gains and reinvested income distributions.