Continuous Compound Interest Converter
This calculator computes the future value of an investment using continuous compounding interest, where interest is compounded an infinite number of times per year. It’s ideal for comparing growth scenarios and understanding theoretical maximum returns.
Continuous Compounding Value Calculator
Continuous Compounding Interest Formula
$$FV = PV \times e^{rt}$$
Where:
- $$FV$$ = future value
- $$PV$$ = present value (initial investment)
- $$e$$ = Euler’s number (≈ 2.71828)
- $$r$$ = annual interest rate (decimal)
- $$t$$ = time in years
Continuous compounding assumes interest is added at every possible instant. This model is used in advanced finance and theoretical analysis, offering a benchmark for the highest possible return under constant interest. It is especially useful in high-frequency trading, options pricing, and long-term investment comparisons.