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Lumpsum Calculator

Estimate future returns on a one-time investment in mutual funds, ETFs, or stocks. See how compound interest grows your wealth over time.

USA ($) Mode
$
1K1M
%
0.1%8%

Avg Market Return: ~4.5%

Years
1Y30Y

Maturity Value

$12,462
Invested Amount$10,000
Est. Capital Gain$2,462

Growth Visualization

Lumpsum vs. Monthly (SIP) Investing

If you have received a bonus, inheritance, or sold a property, you might be wondering whether to invest it all at once (Lumpsum) or spread it out (Systematic Investment).

Historically, Lumpsum investing beats monthly investing roughly 66% of the time because the market tends to go up over the long term. By investing early, your money has more time to compound.

The Growth Formula

FV = P × (1 + r)n
  • FV = Future Value of Investment
  • P = Principal (Initial Lumpsum Amount)
  • r = Annual Rate of Return (decimal)
  • n = Tenure in Years

Market Timing

Lumpsum is most effective when markets are low or undervalued, allowing you to buy more units at a cheaper price.

Max Compounding

Since 100% of your capital is working for you from Day 1, the compounding effect is significantly stronger than in SIPs.

Related Investment Tools

SIP Calculator
Monthly Investing
Compound Interest
Growth Visualizer
FD Calculator
Safe Returns
Simple Interset
Simple Growth

Frequently Asked Questions

What is a Lumpsum Investment?
A lumpsum investment is depositing a substantial sum of money all at once, rather than in small monthly amounts (like SIP). It allows your entire capital to start earning compound interest immediately.
Which is better: Lumpsum or Monthly Investing?
Mathematically, Lumpsum often yields higher returns if the market rises, as your money spends more time in the market. Monthly investing (DCA) is considered safer during volatile markets as it averages out your buying price.
How is the future value calculated?
We use the standard Compound Interest formula: A = P(1 + r/n)^(nt). This formula applies globally to Mutual Funds, ETFs, Stocks, and Fixed Deposits.
Do I have to pay tax on my returns?
Yes. In most countries (including the US, India, and UK), profit from investments is subject to Capital Gains Tax. The specific rate depends on your country's laws and how long you held the investment.

Disclaimer: Investment returns are subject to market risk. Past performance does not guarantee future results. Please consult a financial advisor before investing large sums.