Want to Invest Learn About Best Investment Options In India

Wealth generation is a huge part of finance and one that is most talked about in business circles. The concept of wealth generation is all about creating more money from an idly kept money through investment. It is where investments come into the picture. However, in a country like India, where financial literacy is low, it's easy to become perplexed when looking for investment opportunities. Add in the attractive promises made by middlemen to entice commoners, and you have a people that is both unaware and strangely enthusiastic about investment and wealth creation.

There are countless investment options with varying amounts of risk involved. It all boils down to your needs and demands and how deep your pockets go. However, as with everything, the right investment necessitates decision-making and planning. You will have to account for your investment goals, liquidity needs, risk appetite, and investment area to finally arrive at a decision. Investment shouldn’t be random. Therefore we have prepared a list of the best investment options in India. These investment options have been divided based on risk appetite, among other things.

1. Direct Equity

Investment in stocks involves high risk, and there is no guarantee of returns. But the silver lining is that it is the only form of investment known to give the highest inflation-adjusted returns. But investing in the stock market is not everyone’s cup of tea, as you have to know the right entry and exit time. Furthermore, this is a long-form of investment, so you shouldn’t expect immediate results. But despite all that, the stock market is one of the best places to invest if you play your cards right or trust a stockbroker to make your move.

2. Fixed Deposit

It is perhaps the safest form of investment that involves the lowest risk you can imagine. That is why this form of investment is massively popular among the middle-class population of India. Fixed Deposit (FD) also offers an assured return on investment. All this makes it an attractive form of investment if you are looking for something less risky and ROI-proof.

3. Mutual Funds

Mutual Funds are considerably a newer form of investment for Indians, but it has become one of the best ways to invest your money. It involves a fund manager who pools people’s money and then collectively invests it into the stock market to buy stocks and bonds. Mutual Funds are a medium-risk investment since it doesn’t involve a larger amount but still is risky enough because of the stock market. Mutual Funds are a great way to invest little for a shorter period. They also act as a guinea pig for anyone looking to invest big in the stock market.

4. Real Estate

It is perhaps the oldest and most trusted form of investment in a country obsessed with buying houses. Real Estate is inflation-proof and doesn’t involve much risk. The return is slow but long-term. What else does one need!

5. Senior Citizen Savings Scheme (SCSS)

It is a government-sponsored scheme for retired people above the age of 60. SCSS is a great investment option for old-age people who have retired from their profession and don't have a source of income. It has a lot of attractive schemes, and if you invest more, you may easily earn a higher return on your investment.