SIP vs Lump Sum — the eternal question

The math

Statistically, lump sum investing beats SIP in roughly 70% of 12-month horizons, because equity markets have a positive expected return and the longer your money is invested, the more it captures that return.

The behaviour

However, the 30% of cases where SIP wins are the cases where the market falls — and those are exactly the cases where the average investor panics. A SIP protects against panic-selling.

The hybrid approach

For most investors with a meaningful lump sum, the optimal approach is a hybrid: invest 50% as a lump sum today, and spread the remaining 50% as a SIP over the next 6–12 months.

The best SIP calculator is the one you actually use. Run the numbers, understand the math, and start investing today.