Top 10 investment options in India 2016

Posted on Posted in Advice

The Indian market has been topsy-turvy last year and to figure out the best plans for your financial needs becomes difficult. Analyzing technical aspects become stout. Thereby, the following are the best investment options you can have this upcoming year.

1) Fixed Deposit:
This is the best and the safest option for investment in India. Many opt for these as they provide reasonable returns. Here, once the money is invested, it gets locked safely. You are assured of definite returns and the return amount is decided by the organization you elect. Hence, it is considered as the safest option. The time period in Fixed deposits tunes from 15 days to 5 years. The rates of return vary for pensioner and no senior citizen. For a non-pensioner, the average rate of interest is 10% and for the retiree, the rate of interest is higher.

2) Mutual Funds:
Mutual funds are one of the most famous kinds of investment amongst common man. It is beneficial when used in a limited and diversified manner. If someone is not ready to risk, they can go for this option. Diverse portfolio decreases risk because when one investment goes wrong, you will still have others. This option is proven great if one doesn’t wish to enter the stock market.

3) Insurance Policy:
Another popular choice amongst people since last two years is insurance policies. They only give risk-free profits. They provide you with a wide range of coverage and a variety of types such as Life insurance.

4) National Saving Certificate (NSC):
Most common option with the six-year time span and ties up well with government subsidies is secured in every possible way. With NSC, you can begin with Rs.100, with 8% interest rate (calculates twice a year). Tax deduction perk is given on NSC returns up to Rs.1 Lakh.

5) Public Provident Funds (PPF):
A premium option if you planning to invest for future. PPF gives high returns for citizens under 30% tax span. This investment plan becomes the most opt able to plan because of fewer risk factors and good returns.

6) Stock Market:
It is an ace option if you are a risk taker and want fast profits. It can give you faster and high profits but it has proved to be dicey and jeopardous also. It does not assure high profits every time. If you are willing to invest in stock market, make sure you are thorough with market trends and have enough information about the market and the factors affecting it.

7) Real Estate:
It has always been an eye candy for investors. But it is considered as risky option. With rates escalating each year, investing in real estate have become difficult in metropolitan cities. Hence, carefully go through all the rates and buy the one that is profitable not the one the looks good on the first look.

8) Private Equity:
I t does not depend on classic stock market trends. These are equity securities of private companies owned by private equity companies, venture capitalists, and angel investors. There are above 365 enterprises that exercise under Indian equity. These factors make it satisfactory in terms of returns.

9) Gold and Silver investment:
It may or may not be the best option as it has fewer chances of good returns, but anyways good and healthy option to invest. General investment limit for people to invest in gold should not exceed 5% to 10%.

10) Non-Resident Ordinary (NRO) funds
Special sector for Indian citizens living on foreign lands and wish to make investments in India. They can easily invest their offshore-earned finances in India safely.

These are some of the top investment options this year. Invest in rational ideas and not emotionally. Emotional investment turns out to be shaky sometimes and we humans tend to get swayed by our irrational ideas especially when they are made emotionally.

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