Are mutual funds the great option to generate passive income, or shall I invest in fixed deposit bonds? Such questions might be confusing you. Investment options are abundant out there in the market. It is a challenging task for the investors to choose the fruitful one. To make your investment process easier, we have come up with the top 10 best investment plans that offer you the high return of the investment. So, let’s get started.
Best Investment Options in India 2020
The following is the list of the best investment plans in India
1. Mutual funds
Mutual funds are risky but linked with high returns. It is the best investment plan for the investors who want to invest in the market but don’t have enough knowledge of the investment. In mutual funds, the money is collected from the investors, polled together and then invested in securities like bonds, stocks, and other money market instruments. However, the risk in mutual funds is higher, but it offers better returns compared to other investment options.
Stocks are one of the best investment options for long term investors. If you want to take the advantages of compounding, then invest in stocks. Now you can trade in the market independently with the help of a stock marketing trading app. You can buy/sell stocks, manage your portfolio at one click.
If you are not a risk-taker investor and want to build an asset column, then PPF is an ideal investment plan for you. It is one of the most trusted and popular investment options for Indians. With a minimum of 500 Rupees, you can open your PPF account and add money for 15 years. It pays you high interest and offers you the sum assured when it gets matured.
Senior citizen savings scheme
The Government of India has sponsored so many fruitful investment plans; one of them is the senior citizen savings scheme. To make your retirement phase hassle-free, you can purchase this plan and start investing in it.
Bank Fixed Deposit
If you are looking for a traditional investment plan that has zero risks, then bank fixed deposit is the best for you. In this plan, you will get the profit month to month, quarterly to quarterly or yearly to yearly, as per the terms and conditions of the bank. Once your FD gets matured, you can re-invest the amount to earn a profit. If you want guaranteed return with no risk, then avail bank fixed deposit.
Recurring deposit is one of the easiest and profitable investment plans. You are allowed to invest regularly and earn better returns. The tenure of the RD ranges from 1 year to 10 years. You can open your RD account in your respective bank and invest money in it. The interest is paid at the time of maturity.
Unit Linked Insurance Plans
Unit Linked Insurance Plan is an insurance product that offers you both insurance and investment facilities. Under a single plan, you can secure your life and earn returns. Similar to the insurance plans, here you need to pay premiums monthly, quarterly or yearly.
Real estate is one of the most popular and fastest-growing investment options. The risk is very low, and returns are very high. If you know property, then you can involve in real estate partnership or sell plots independently.
9. Post Office Monthly Income Schemes
The Post Office regulates the Post Office Monthly Income Scheme. This scheme allows you to save an amount for a specific period. If you want monthly income and are unwilling to invest in risky investment plans, then POMIS is the best plan for you.
10 Gold ETF
Gold ETF is a mix of stock and gold investments. These funds are traded in NSE. Investors who are willing to invest in commodities like gold and have low-risk appetite can choose Gold ETF plans.
Building an asset column is the best thing you can do for yourself. It gives you peace of mind that you have some savings for your future. Choose the plan that matches with your financial objectives.