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Investments

Lumpsum

pronounced: [L-u-m-p-s-u-m]

A single, one-time investment made in a financial instrument such as a mutual fund, fixed deposit, or stock, as opposed to making periodic investments over time through SIPs.

Example

A ₹5 lakh FD at 7.5% p.a. for 1 year earns ₹37,500 in interest. If the interest is compounded quarterly, the effective rate is slightly higher at ~7.65%, earning ₹38,250.

Frequently Asked Questions

Related Terms

SIPCAGR
Mutual Funds

Last updated: 21 May 2026