Lumpsum Calculator

A lumpsum investment puts your full amount into a mutual fund or other instrument on day one, rather than spreading it across instalments. Every rupee starts compounding immediately, which is why the growth curve on a lumpsum investment looks smoother and steeper than a SIP over the same period and total amount.

The formula

Future value is calculated by compounding your investment annually at the expected rate of return: FV = P × (1 + r)ⁿ, where P is your principal, r is the annual return rate, and n is the number of years invested.

Lumpsum vs. SIP

A lumpsum investment carries more timing risk — investing right before a market downturn affects the entire amount at once, whereas a SIP averages your entry price over time. Lumpsum investing tends to suit investors with a large one-time amount (like a bonus or inheritance) and a long time horizon that can absorb short-term volatility. Compare with our SIP Calculator if you're deciding between the two approaches.