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Searching For the Best Investment Schemes in India? Here’s What You Should Know

In an age where there are many investment opportunities, how do you decide where to spend your hard earned money? Smart investors are always looking for the best investment scheme to multiply their money with the least risk.

Often, high returns come with an equally high amount of risk, making it challenging to find opportunities that give you high returns but low risk. As potential investors, we are always looking for the best investment scheme that gives us the best returns in a given time period. If you are also looking to invest, then this article is for you.

Searching For the Best Investment Schemes in India? Here's What You Should Know
Searching For the Best Investment Schemes in India? Here’s What You Should Know

Best investment schemes in the market

Investments help you multiply your money by using financial assets to give you a profit. Now that we have the investment meaning sorted, let’s look at a few types where you can invest.

  1. Unit Linked Insurance Plans (ULIPs)

ULIPs are one the best investment schemes in the market. It gives you the benefits of both an investment and insurance. Typically, they have a lock-in period of 3-5 years. In addition to this, you have the option of moving your money between high risk, medium risk and low risk options.

ULIPs are life insurance plans that allow you to invest your money in different money-market linked assets according to your goals. It also comes with tax benefits and is a great option to invest and save for the future.

  1. Government-backed schemes

There are great government-backed schemes that are some of the best investment schemes in the market. These include Government Schemes For Senior Citizens (SCSS), Sukanya Samriddhi Account, National Pension Scheme.

They are simple to start and are often for the long-term. Each of these funds have a specific time period, purpose and return. These are great if you are looking for low risk investment opportunities.

  1. Equity

Investing in the stock market is another great financial asset. If you are market-savvy, have a high risk appetite and are looking to bring in higher returns, then this is the best investment plan for you.

You can invest both for the long and short term though historically, investments for the long-run have proved to be profitable for investors as the market tends to fluctuate in the short run.

  1. Mutual Funds

Mutual funds are created when money is collected from different investors to invest in a company’s stocks or bonds. They are typically shared by many investors and are collectively run typically by fund managers to maximize returns.

Mutual funds offer diversified investment, making them one of the best investment schemes for smart investors. You can tailor them based on your risk appetite.

  1. Fixed Deposits

These are probably one of the safest options on the list. You deposit an amount with the bank for a fixed period of time and get the principal amount plus the interest value at the end of the end of the period.

Since the money is held in a ban and is not directly linked to the performance of any security, it carries less risk. They also give you a tax benefit making it a win-win if you are not looking at a higher return.

  1. Bonds

Using bonds, you lend money to an underlying issuer at a stated interest rate. The interest on each bond can be paid to you regularly, and the face value is returned at expiration. You can sell the bond before expiration if you need it.

 

There are also Sovereign Gold Bonds that are issued by the Reserve Bank of India and backed by the Indian government. SGBs are securities that act as a substitute for physical gold and are denominated in grams of gold.

 

  1. Public Provident Fund

A Public Provident Fund is one of the best investment schemes for salaried professionals. It allows you to save up a part of your salary which is then returned to you when you retire and comes in handy if you are unable to find a job for a certain amount of time.

These are tax-deductible and can be opened at any bank or post office. They typically have a lock-in period of 15 years. The only issue with a PPF is that the money can only be withdrawn after the 6th year.

Insurance as investment

Insuring your life is also a way to invest in your future. It ensures that your family is assured a certain amount of money even when you are gone. In addition to this, they can also help you prepare for expenses related to education and secure your life after retirement. It is vital to achieving financial stability and giving you peace of mind for your future.

In Closing

At Max Life Insurance, we have a number of investment opportunities that can help you grow your money. Smart investments are a must if you want to battle unexpected expenses, inflation, and achieve financial stability for your future. You should aim to select the investment type based on your goal and risk appetite for best returns.

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