1. Simple rate of return: refers to the ratio of the sum of investment principal and interest to investment principal in a certain period. The calculation formula is simple rate of return = (investment income/principal) × 100%. For example, if an investor deposits 100 yuan in the bank and earns interest 10.5 yuan one year later, the simple rate of return of the investment is (10.5/100) ×100% =10.5.

2. Compound interest rate: refers to the cumulative rate of return on investment income in a period of time according to the compound interest calculation method. The formula is compound rate of return =[( 1+ simple rate of return 1)×( 1+ simple rate of return 2)×…×( 1+ simple rate of return n)- 1]× 100%. For example, if the first year's income of a fund is 10% and the second year's income is 20%, the compound rate of return of the fund is 32%.

3. Internal rate of return (IRR): refers to the discount rate that the net present value of investment projects is equal to zero. The calculation of internal rate of return is complicated, which usually needs to be calculated by special financial software or spreadsheet software. The calculation steps include determining the cash flow of the investment project, discounting the future cash flow to the initial investment point with an appropriate discount rate, calculating the net present value (NPV), and adjusting the discount rate to make NPV equal to zero to get IRR.

4. annualized rate of return: refers to the conversion of non-one-year investment rate of return into standard one-year rate of return for comparison. The calculation formula is annualized rate of return = (investment income/principal)/investment days ×365× 100%. For example, if the half-year return on investment is 10%, its annualized return is (1+10%) 2-1= 21%.