What type of investments exist and what are most popular investment types in india?
there 3 broad types of investment options:
1. debt - low risk, 6 - 12% returns
2. equity - high risk, returns linked market performance
3. commodities/bullion , such - low risk, low returns
under debt have:
bank fixed deposits/recurring deposites - if in lower tax brackets
fixed maturity plans (fmp's)- high income people, better fd's
provident fund/nsc/government bonds - not recommended due long lock in periods
under equity there are-
mutual funds, etf's, index funds, stocks
bottom line - if want preserve capital , earn modest returns , plan withdraw money in year or two, invest in debt funds, invest equity if can stomach risk higher returns, , don't plan touch investments long time (> 3-5 years)
, please don't make mistake of mixing investments insurance. don't ulip's investment option - repent later.
can tell me investments types , whatz hot investment in india right now????
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