Lumpsum Calculator

Calculate the future value of a one-time upfront investment in Mutual Funds.

Total InvestmentRs. 5,00,000
Expected Return Rate (p.a)12%
Time Period10 Years
Invested AmountRs. 5,00,000
Est. Returns+Rs. 10,52,924
Total ValueRs. 15,52,924

Wealth Breakdown

Invested Amount
Est. Returns

What is a Lumpsum Investment?

A Lumpsum Investment involves depositing a significant amount of money into a Mutual Fund or other investment vehicle in a single, one-time payment, rather than breaking it down into smaller systematic monthly investments (SIPs). It is heavily utilized when an investor receives a large influx of capital at once, such as an annual bonus, inheritance, or the sale of real estate.

SIP vs Lumpsum?

While a Systematic Investment Plan (SIP) allows you to average your purchase price out over time (reducing market volatility risk), a Lumpsum investment generally yields geometrically higher returns if your overall time horizon is long enough (10+ years), simply because your entire capital base stays in the market and compounds for a much longer period.

The Lumpsum Compounding Formula

A = P(1 + r/n)^(n × t)
Where A is the estimated final maturity amount, P is the principal lumpsum amount invested, r is the expected annual rate of return, and t is the investment duration in years.

Disclaimer:Mutual fund investments are subject to market risks. The calculations here are extrapolated constant historical growth and do not guarantee future performance.

Also Try These Calculators

Income Tax

Compare Old vs New tax regime

EMI Calculator

Home & Car loan EMI with amortization

PPF Calculator

Tax-free Public Provident Fund

Frequently Asked Questions — Lumpsum Calculator

What is a Lumpsum investment in Mutual Funds?

A Lumpsum investment means investing a large amount of money at one go in a mutual fund scheme, as opposed to investing small amounts periodically through SIPs.

When should I invest Lumpsum vs SIP?

Lumpsum investments work best when markets are at lower levels and you have a large corpus available. SIPs are better for regular income earners as they average out market volatility through rupee cost averaging.

What is the minimum Lumpsum investment in Mutual Funds?

Most mutual fund houses in India allow lumpsum investments starting from Rs. 1,000 to Rs. 5,000 depending on the scheme. There is no upper limit for lumpsum investments.

Is Lumpsum investment risky?

Lumpsum investments carry timing risk — if you invest when markets are at a peak, short-term returns may be negative. However, over long periods (7-10+ years), lumpsum investments in diversified equity funds have historically delivered strong returns.