Mutual fund investments can generally be divided into two categories: overall investments and reduced interest investments. A lump sum investment is where the depositor invests a substantial amount of money in a specific mutual fund. SIP or Systematic Investment Plan, on the other hand, requires smaller amounts to be invested on a monthly basis.
Both types of mutual fund investing strategies have their fair share of advantages. Large-scale investments are particularly favoured by a majority of investors, as fewer variables are involved and returns are generally higher. To find out how your collective investment is expected to perform, you can use an online collective investment calculator.