Rs 10 Lakh Lump Sum Investment: In how many years can you create over Rs 5 crore and Rs 7 crore retirement corpuses? Check calculations

Because it enables the total amount to possibly increase from the start, this strategy can be very beneficial in a rising market. However, because the full sum is susceptible to market fluctuations all at once, it also entails a higher risk, particularly in volatile markets.

Lump sum investments are better for long-term goals like a child's education, retirement, or purchasing a house.

Since it's a one-time investment, it is easily manageable. You don't need to track monthly payments; just track the performance of funds.

If you invest a Rs 10 lakh lump sum in mutual funds, you can easily create more than Rs 5 crore retirement corpus.

If you invest Rs 10,00,000 one-time, then at 12 per cent annualised return, your maturity will be Rs 5,00,00,000 in 35 years.

Invested amount: Rs 10,00,000 Estimated returns: Rs 5,17,99,620 Total value: Rs 5,27,99,620

Calculations Invested amount: Rs 10,00,000 Estimated returns: Rs 7,10,68,506 Total value: Rs 7,20,68,506

The views/suggestions/advice expressed in this article are solely of the brokerage firm. Zee Business suggests its readers consult their investment advisers before making any financial decision.