Best investment options in India

Best investment options and plans in India

An average investor in India is always looking for the best plan/ option to invest his/her money in. It’s wise to earn money, but then one should be prudent enough to ensure the safety of his/ her funds, and not lose capital. Hence some of the best investment options, keeping in mind the above are as follows:

1. Public Provident Fund (PPF)

This is the most common investment option. Some of the benefits under PPF are that one can invest any amount ranging from Rs. 500 to Rs. 1,00,000, it offers one of the best interest among all investment plans, also it can be used to add fixed income to one’s portfolio and maintain stability. There are practically no disadvantages of PPF.

2. National Savings Certificate (NSC)

NSC is a popular choice among rural Indians, where one can invest an amount beginning from Rs. 100 and can choose either a 5 year or a 10 year plan. The interest rates being offered at present are 8.5% for % years and 8.8% for 10 years.

3. Senior Citizens Saving Scheme (SCSS)

This is probably the best investment option if the investor is above 60 years in age, as it offers an interest rate of 9.2%. Also it provides liquidity as the interest is paid quarterly. However the investment limit is Rs. Fifteen lakhs, and tax saving is limited to Rs. One lakh.

4. Bank Fixed Deposits ( Banks FD’s)

This is a very good option if the investment if the investment is to be made for a period ranging from 6 months to 24 months, though the minimum investment period is of 30 days. Also the rules differ from bank to bank. The benefits are that the plan is easily available and also has minimal formalities at the time of withdrawal, but there are penalties associated with early withdrawals.

Hence one may prefer to choose any one out of the above mentioned investment options, even though there are many other options too, which are not mentioned above.

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