A Comparison of Lumpsum and Systematic Investment Plan with Reference to Axis Mutual Fund

Abstract

Investors have confusion in investment options, either directly or indirectly. On top of it, new ways of making investment have come up with the advent and development of technology. This is particularly true about the mutual fund industry in that a new way of investment in mutual funds by paying a fixed amount of money on equal intervals, known as systematic investment plan (SIP). It resembles to a recurring deposit scheme of a bank or post office. The SIP has gained a sizable popularity and hence a structured study in Indian context is in place. And it is also important to understand and analyze investor’s perception and expectations and unveil some extremely valuable information to support financial decision making of mutual funds. The objective of the present paper include comparison of SIP with lump sum investment using  NAV Method and data envelopment analysis (DEA).this will help the investor to invest the money in best option which is either sip or Lumpsum method. Since a sizable population is still using the traditional investment options and are deprived of the benefits of SIP, the findings of the proposed research would be of immense benefits to the society.