How can a lumpsum calculator be beneficial for you?
Investing has become a booming trend nowadays, everyone around us is investing in some or the other kind of investment that can make help them feel secure about their future needs. While investing may look easier, but it requires lot of knowledge and expertise to make the right investing decisions for your future, especially when you are a newbie to the field of investing. In order to secure your future, you can either choose to invest in a SIP or a lumpsum investment plan, both have their merits and demerits, but you can choose the one you like.
A lumpsum plan includes investing your whole money in a specific mutual fund at once only, rather than investing smaller amounts every month. A lumpsum calculator can be so useful for you, since it gives you an idea about the estimated returns you can get over the specified time period. Following are some of the benefits of using a lumpsum calculator:
- Accurate calculation of returns: When you use a lumpsum calculator to calculate the total amount of returns that you are going to get during your whole investing period, you will be surprised to see how accurate its calculation is. It gives you a clear idea about how much profits can you expect to get at the end of first, second or fifth year, depending on the time of your investment. Based on this information, you can choose the amount of money that you are willing to invest.
- Simplified use: A lumpsum calculator is so simple & easy to use, that even a normal person can use it without facing any kind of hesitation and problem with it. Everything is automated and mechanized, due to which you don’t need to put any of your own effort to make the calculations. Just put the investment amount that you are willing to invest, the time duration of your investment & the interest rate you want. And you will automatically get the desired results that you were looking for. Its that simple!
- Allows you to take better investing decisions: When you already know the returns that you are going to real from your investments, you will automatically start to think wisely about your money. A lumpsum calculator gives you an idea about the estimated profits that can be earned from a particular mutual fund. Based on this information, you can choose to put more money into the fund with the passing time, which will ultimately grow your investment & profit amount in the future.
- Provides you detailed information: It’s unlikely to get every kind of investment information with the help of a physical calculator, that’s why a lumpsum calculator is more beneficial for you. Not only does it provide you the estimated profit information, but also gives you an indication about the changing growth returns of the mutual fund you are investing in.
To get the best results, use the lumpsum calculator which is available on 5paisa, since it provides clear calculations regarding your investment amount and the estimated returns on it.