When it comes to investing in mutual funds, it is essential to have a well-balanced investment portfolio. One key decision that investors often struggle with is the right allocation between mutual fund lumpsum and SIP (Systematic Investment Plan).
A lumpsum investment is beneficial when an investor has a sizable amount of money available to invest. It allows for a potentially higher growth rate as the entire investment is deployed at once, giving the capital more time to benefit from market fluctuations and potential appreciation in the long run.