This paper conducts a comprehensive risk and return analysis comparing systematic investment plan (SIP) and lump sum investment approaches in various categories of mutual fund schemes, including equity, hybrid, and Equity Linked Savings Schemes (ELSS). The study examines historical data to evaluate the performance, volatility, and risk-adjusted returns of both SIP and lump sum investments over different time horizons. Key metrics such as annualized returns, standard deviation, Sharpe ratio, and maximum drawdown are employed to provide insights into the comparative risk and return profiles of these investment strategies. The findings contribute to a better understanding of the trade-offs between SIP and lump sum investments in different mutual fund categories, aiding investors in making informed decisions based on their risk tolerance, investment objectives, and time horizon.