Best Investment Plan

Best Investment Plan With Huge Return
We have ranked 10 of the most common investments under Section 80C on five basic ... It can dent your overall retirement planning.Choose from amongst our best investment plans and see your investments grow safely and securely. investment plans also offer life cover.

1. Bank Fixed Deposits

Many Indian banks provide good interest rates on fixed deposits ranging from 8 percent to 9.25 percent per annum. You can park your money for 2 to 3 years as they are considered to be very safe investments. Currently IndusInd Bank is providing an interest rate of 9.25 percent for a fixed deposit of 999 days under special schemes. Other banks like Axis Bank, Bank of India etc are providing an interest rate of 9 percent for a time frame of 2 years to less than 30 months or 3 years.

2. Investments in Corporate/Company Deposits/NCD’s

Corporate companies also provide fixed deposit schemes which can earn you good returns. These deposits are also accepted by financial institutions and Non-Banking Finance Companies (NBFCs). Apart from fixed deposits, the companies also provide Non-convertible debentures (NCD) with attractive interest rates.

Benefits of investing in Company Fixed Deposits are high interest, short-term deposits; lock-in period is only 6 months. No Income Tax is deducted at source if the interest income is up to 5, 000 in one financial year. Investment can be spread in more than one company, so that interest from one company does not exceed 5, 000.

3. Mutual Funds - Large Cap

Generally large cap mutual funds invest in blue chip companies for a long period of time. But these can also be invested for a short time frame like 3 years. Within this short period only little downside is probable in case of share market downtrend. Within last three years 10 to 13 percent yearly returns have been offered on large cap mutual funds.

4. Mutual Funds - Ultra Short Term

The ultra short term mutual funds invest maximum of the portfolio in fixed deposits and short term investment options. Investments can be made in such options for the period of 1 to 3 years. In last three years the returns have been 8 percent to 8.5 percent per annum.

5. Mutual Funds - Debt Funds

Under debt mutual funds, maximum of the investment is done in debt related instruments like corporate deposits, NCD’s etc. If you are looking for an investment of 1 to three years, debt mutual funds are a good option as these are generally offer attractive returns when interest rates are sliding.

6. Investment in Gold

Investment in gold is a good option for both long term and short term time period. It is observed that investment in gold has provided almost 24 percent yearly returns in the last 5 years. There are various options to invest in gold.

Source:
http://www.siliconindia.com

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