5 Best Investment Options To Invest Your Money Today

Publish Date : 2020-04-23


5 Best Investment Options To Invest Your Money Today

Investing is a tough exercise – it becomes even more so when there are multiple options and an unstable environment, like the current. You are left to ask the obvious question of finding the right and high earning investments for you. Keeping in mind various stability issues in the economy, we will look at how to invest money in instruments that can reap rewards in the long run.

 

  1. Direct Equity – The markets are at their lowest in last the decade with the NIFTY easily going below 10,000 levels and the SENSEX creating new lowest records. This is an opportune time to pick up good stocks which are fundamentally strong and once the crises pass through, will be back to their performing levels as the business models and potential is intact.
     

  2. Small Saving Investments – Lookout for creating accounts in Sukanya Samriddhi Yojana (if you have a daughter), PPF, National Savings Certificate, Post Office FDs and Senior Citizens Savings Scheme (SCSS) if you are eligible. These pay higher interest than bank FDs which are usually the comparison point for most fixed income instruments. PPF and NSC will earn an interest rate of 7.9 from January to March 2020, Sukanya Samriddhi Yojana will earn 8.4%. Also Kisan Vikas Patrika – another stable bond – will earn 7.6%. The Senior Citizen Saving Scheme will earn 8.6%.
     

  3. Mutual Funds – One of the simplest investments for layman investors, you can choose different schemes as per your risk profile and your investment aim. There are Equity Linked Saving Schemes which are equity oriented and also give tax break on the returns but come with a lock-in of three years. Debt mutual funds can help you earn returns when the interest rates are low. Look at those which invest in government securities and highest graded bonds of companies.
     

  4. Fixed Deposits – You should do a FD interest rate comparison between different banks and tenors. Also, lookout for special FD rates if you are a senior citizen or woman. You can also compare with company FD rates which provide higher rates than banks for longer tenors. You can also look at Bajaj Finance, one of the most trusted and guaranteed companies, offering fixed deposits up to the five year tenor with the highest rate of up to 8.05%. It is important you take into account additional interest rate benefit if you are a senior citizen or existing customer or even Bajaj employee. 

Bajaj Finance FDs can help in planning financial goals with their returns of investments which are very high. The following table shows returns from a five year FD-

Customer type

Interest rate

Interest amount

Growth in savings

New customer

7.80%

Rs. 45,577

45.57%

Existing customer

7.90%

Rs. 46,254

46.25%

Senior citizen

8.05%

Rs. 47,273

47.27%

 

You can use the strategy of laddering to ensure you keep getting steady matured deposits after planned intervals so that you do not run out of money to meet your expenses.


It is always good to understand your investment portfolio before investing. If you have invested in too many high stake investments then it is better to go for safer options like fixed deposit. Also, if you do not have a large corpus available for investing, you should look at flexible FD investment plans such as Systematic Deposit Plan which allows you to invest in an FD with small monthly deposits of Rs. 5000.



Category :finance
Author Website : highlight story

Why Working Capital Loans Are Better Than Business Credit Cards?

Why Working Capital Loans Are Better Than Business Credit Cards?

- In this comparison, working capital loan better than business credit cards for some of the reasons which you should know now. To know in detail, click now!


All you need to know about Affordable Government Housing Schemes in India

All you need to know about Affordable Government Housing Schemes in India

- The 2011 Census of India showed that the urban population accounted for almost 31.16% (377 million) of the nation’s population. Studies also showed that this number is likely to reach almost 440 million by the end of 2021.


Right Time to Conduct Forex Trading Business

Right Time to Conduct Forex Trading Business

- Forex Trading business is highly beneficial for everyone but exact time frame play an important role for forex trading.


Tips to Start Trading Forex

Tips to Start Trading Forex

- Before you start trading Forex, you should first understand your needs. Then, you should seek to learn about the trade, choose a good broker, and stay committed.