Calculators › Lumpsum CalculatorInvestment
Lumpsum Calculator
Project what a one-time investment could be worth after it's left to compound for a chosen number of years.
Lumpsum calculator
Project the future value of a one-time investment left to compound at a fixed return.
What is a Lumpsum?
A lumpsum investment is a single, one-time deployment of money into a mutual fund or other market-linked instrument, as opposed to spreading it out via SIP. It suits money that's already available in full, such as a bonus, a maturity payout, or an inheritance, rather than money that will arrive gradually over time.
How is it calculated?
Why use this calculator
- Puts the entire amount to work from day one, rather than phasing it in
- Simple, single-number projection that’s easy to explain to a client
- Useful for comparing “invest now” against “wait and invest later”
Who should use it
Clients who've just received a windfall, such as a bonus, sale proceeds, insurance maturity, or inheritance, and are deciding whether and how to deploy it.
Frequently asked questions
Is a lumpsum investment riskier than a SIP?
It can carry more timing risk, since the entire amount enters the market at once rather than being averaged in over time. Whether that matters depends on the asset class and the investor’s horizon.
Should a lumpsum ever be split into a SIP instead?
It's a common approach for large amounts entering volatile assets: deploying it via a short SIP (sometimes via an STP, from a debt fund into equity) rather than all at once. That's a separate strategy from what this calculator models.
What rate of return should I assume?
Base it on the actual asset mix you’re recommending, and be conservative: this projection is only as realistic as the return assumption behind it.