Lumpsum Investment Calculator
Calculate the future value of your one-time investment.
Investment Details
Projected Results
Principal Amount
₹0
Est. Returns
₹0
Maturity Value
₹0
How Lumpsum Investments Grow
A lumpsum investment is a one-time investment of a significant amount of money into a financial instrument, like a mutual fund or fixed deposit. Unlike a SIP, you don't make recurring payments. The growth of this investment primarily depends on the power of compounding over time.
The Future Value Formula
The calculation is based on the future value formula for a single sum:
FV = P × (1 + r)^t
Where:
- FV is the Future Value of the investment.
- P is the Principal amount (your initial investment).
- r is the annual rate of return (as a decimal).
- t is the number of years the money is invested for.
Frequently Asked Questions
Is lumpsum better than SIP?
It depends on your financial situation and market conditions. Lumpsum can be more rewarding if you invest when the market is low. SIPs are generally considered less risky as they average out the purchase cost over time (Rupee Cost Averaging).
Where can I make a lumpsum investment?
You can make lumpsum investments in various instruments like mutual funds, stocks, Public Provident Fund (PPF), and fixed deposits (FDs).
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