Direct equity is considered to be one of the best high return long-term investment options. Even though most investors perceive direct equity as a high-risk investment option, they can give lucrative returns. Also, it is important to consider buying the correct stocks when discussing direct equity investment plans and knowing when to enter and exit the market. Moreover, before investing in direct equity, ensure that you understand how to examine a share stock.
Fixed Deposits (FD)
Fixed deposits are one of the most conventional fixed-pay investment options. As their name suggests, FD provides fixed returns during the investment period. Interests are paid monthly, quarterly, or annual, depending on the bank's policies. FDs come in both cumulative and non-cumulative forms, depending on the bank/ option chosen. In the non-cumulative option, interest will be paid periodically according to underwriting; however, interest will be reinvested in the cumulative option and paid at maturity.
Public Provident Fund (PPF)
Among all the best investment options in India 2021, this is one of the most secure long-term investment possibilities that you can opt for. It is a tax-free product, upto an amount of Rs. 1.5 lakhs a year, according to Section 80C of the Income Tax Act. You can open a PPF account at a bank or a post office. Apart from that, the money you invest is secured for 15 years initially, following which it can be extended for blocks of 5 years.
Senior Citizen Savings Scheme (SCSS)
For elderly citizens over the age of 60, the Senior Citizens' Saving Scheme (SCSS) is one of India's risk-free tax-saving (upto Rs. 1.5 Lakhs per annum, according to Sec 80C of Income Tax Act) investment choices. It is considered one of the greatest investment ideas for seniors because it provides them with a steady income. Plus, this plan offers a competitive interest rate of 7.4% per year, making it a highly profitable investment option.
Open-ended debt funds, often known as liquid funds, are investments in money market products such as T-bills, commercial papers, and term deposits. Liquid Funds have a maturity period of upto 3 months. It's a low-risk mutual fund programme that can mostly pay more than your bank's FDs or savings account.
Liquid funds, which has historically offered returns in the range of 7-9 per cent, are one of the best investment plans in India if you search for a short-term investment period. The mutual fund scheme's liquidity is one of the factors that make it appealing to investors.
Real Estate Investment
Real estate is one of India's fastest-growing industries, with promising potential in retail, housing, manufacturing, commercial, hospitality, and other areas. Among the available investment plans in India, purchasing a flat or plot is undoubtedly one of the best choices to make. Real estate investment functions as an asset and are regarded as one of the best long- term investment plans in India that yield significant returns.
The Golden Rule
The golden rule of sensible investing is to have a thorough awareness of the many sorts of investment opportunities available in the market. The investment goal of most individuals varies depending on their financial objectives, time horizon, and risk tolerance, among other factors. To make money grow, an individual must invest wisely in the best investment plans in India that provide attractive long-term returns.
You can choose any of the best investment plans in India if you have extra funds and wish to invest for a short period. You can get good returns by taking moderate, calculated risks while keeping your short-term financial objectives in mind.