The article compares how two different investment approaches — a ₹10,000 monthly SIP and a ₹10 lakh lump-sum investment — can each help an investor build a ₹1 crore corpus over time. A SIP (Systematic Investment Plan) spreads investments across months, allowing the investor to buy mutual fund units at varying prices. This method reduces the risk of market volatility and helps build wealth steadily through rupee-cost averaging and compounding.

In contrast, a lump-sum investment places a large amount of money into the market at once. If invested during favourable market conditions, the lump sum enjoys more time in the market and can grow significantly due to the power of compounding. Using a standard assumption of 12% annual returns, a ₹10,000 monthly SIP over 21 years can accumulate to around ₹1.14 crore, while a ₹10 lakh lump sum invested for the same duration may grow to roughly ₹1.08 crore.

The takeaway is that both methods can help reach the ₹1 crore goal, but the right choice depends on the investor’s situation. A SIP is ideal for salaried individuals who can invest regularly and prefer lower risk, whereas a lump sum suits someone with surplus money who is comfortable with market timing and volatility. Ultimately, discipline, patience, and a long-term horizon matter more than the method chosen.