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With the volatile nature of the market, many look for investment options with low-risk factors and higher returns.
FDs are among the safest investment options in India.(Representative Image)
There are many good reasons to choose a low-risk investment plan, whether it’s to save for a wedding, fund a mortgage, buy a new car, or simply build an emergency fund. Most people look for options that are both safe and easily accessible. However, all investments come with some degree of market volatility. Given the rising cost of living and everyday expenses, more individuals are now seeking sustainable, low-risk options that offer steady returns without compromising financial security.
Given here are a few options that one can go for.
Low-Risk Investments For Higher Returns
1. Savings Account: One of the easiest ways to save money is to go for a high-interest savings account, as you can earn a nominal interest on the deposits made. All you have to do is open a savings account and make continuous contributions. However, one must choose a financial institution that offers competitive interest rates without any extra fees.
2. Fixed Deposits: Another safest investment option is going for fixed deposits. Many banks offer a decent rate of interest over a period of time compared to other low-risk venues. Additionally, one can also get benefits like flexibility, periodic interest, higher stability, and more.
3. Public Provident Fund: A government-backed investment scheme, PPF is counted as one of the safest investment options. Along with a lock-in period of 15 years, PPF offers a much higher rate of interest than a regular long-term financial goal, and or not linked with any markets.
4. Gold: Investing money in gold is still considered a promising form of investment. Besides buying gold jewellery, coins, and bars, one can also make investments in gold ETFs and sovereign gold bonds. Considering that the price of gold does not fall significantly in a single day, it provides the benefit of capital protection.
5. National Pension System: The national pension system is meant to provide financial security in your post-retirement years. It is suitable for those looking for a mix of investment with moderate exposure to the market. When investing in NPS, one gets to choose between asset classes that allow them different levels of liquidity and flexibility. Also, partial withdrawals are permitted for specific purposes.
With all that said, the investment options act in different roles in wealth creation and preserving the accumulated funds.
A team of writers and reporters decodes vast terms of personal finance and making money matters simpler for you. From latest initial public offerings (IPOs) in the market to best investment options, we cover al…Read More
A team of writers and reporters decodes vast terms of personal finance and making money matters simpler for you. From latest initial public offerings (IPOs) in the market to best investment options, we cover al… Read More
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Delhi, India, India
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