LUMP SUM

A lump sum, in financial terms, refers to a singular and comprehensive sum of money. A lump sum investment entails committing the entire amount all at once.

Lump sum investments are a recognized approach to entering the world of mutual funds, with an alternative being the systematic investment plan, commonly referred to as SIP. Typically, significant investors and institutions opt for lump sum investments, especially in assets anticipated to appreciate over the long run, which can lead to profitable outcomes, barring instances of excessive volatility.