Mutual fund investments are divided into two categories: lump sum and SIP. An investor makes a lump sum investment in a specific mutual fund scheme when there is a sizeable amount of money. Whereas SIP or Systematic Investment Plan puts smaller amounts each month.
Both of these mutual fund investment strategies have advantages. Most investors use mutual fund calculators before selecting a mutual fund to invest in. To find out the estimated returns on your lumpsum, use the INDmoney lumpsum calculator.
How do you get help from the Lumpsum Calculator?
Investors in mutual funds can use this calculator to calculate the estimated returns on their investments.
- Save your time and effort on manual calculations.
- Show you the estimated returns instantly.
- Change the inputs at your convenience.
- Decide how much money you want to invest.
- Compare estimated returns to choose the best funds.
Before focusing on the advantages of using a lumpsum calculator, investors must understand the types of returns for a lump sum investment.
What formula is used by the lumpsum calculator?
The online mutual fund calculator uses the below formula to calculate your investment returns:
FV: PV(1+r)^n
- FV = Future Value
- PV = Present Value (Net Asset Value)
- r = Rate of interest
- n = Number of years
How to use the INDmoney Lumpsum Calculator?
The INDmoney website/app has an easily navigable lumpsum calculator. To compute your mutual fund returns, take the following actions:
- Give the necessary variables (total investment, expected return, and period).
- Once you input the variables, the estimated value from the calculator will be displayed.
- Plus, you can see the bar graph of your returns for different periods.
Benefits of using INDmoney lumpsum calculator
Since mutual fund returns are influenced by market risks, it is challenging to precisely calculate them. INDmoney lump sum calculator for mutual funds is a useful financial tool that comes with various advantages:
- This calculator helps you plan your finances based on the expected returns.
- Being an online calculator, you can access it anytime and from anywhere.
- It saves time and effort, as these calculations can be time-consuming when done manually.
Lump sum investments are widely chosen for their history of providing high returns. You can start investing with a small sum and increase it as you gain confidence in the process.
