@railpath/finance-toolkit/dist/utils/irr/calculateIRR.d.ts

Production-ready finance library for portfolio construction, risk analytics, quantitative metrics, and ML-based regime detection

import { IRRResult } from './calculateIRRWithNewtonRaphson';
/**
 * Calculate Internal Rate of Return (IRR) using improved Newton-Raphson with Bisection fallback
 *
 * This function attempts to use the fast Newton-Raphson method first, and automatically
 * falls back to the robust Bisection method if Newton-Raphson encounters problems
 * (e.g., small derivatives, divergence, or repeated worsening).
 *
 * @param cashFlows - Array of cash flows (positive for inflows, negative for outflows)
 * @param timePeriods - Array of time periods in years corresponding to each cash flow
 * @param maxIterations - Maximum number of iterations for convergence
 * @param tolerance - Convergence tolerance (default: 1e-6)
 * @returns IRR result with rate, iterations, and method used
 */
export declare function calculateIRR(cashFlows: number[], timePeriods: number[], maxIterations: number, tolerance: number): IRRResult;