Top 10 Investment Options in India


Investments are like planting seeds and watching them grow slowly over time; even though you don’t always see their growth, you know it’s happening. The seeds that you sow today as an investment in the best investment options will reap their benefits in the future. It is true that when one invests, there is a sense of financial security that comes with it.

Whatever happens tomorrow, you know you have a Plan B to fall back on if something goes wrong. Most investors choose the best investment options, such as investing in real estate, stocks, and bonds, when creating their best investment plans in India, as these types of the best investment options have either a high rate of growth or income or both at the same time.

Listed below are the top 10 best investment options in India.

1. Stocks

Direct Equity Investment refers to purchasing individual equity stocks of publicly traded or unlisted companies. Direct stock investments can result in capital gains or dividends. However, various factors determine the performance of stocks, such as the performance of the company, the market position, etc.

2. Equity Mutual Funds

There are several types of mutual funds, but the type known as Equity Mutual Funds is where money is mainly invested in equity stocks. Generally, an equity mutual fund can invest between 70 and 95% of its assets in equity stocks and other instruments related to equity stocks. As they are equity-based, this type of investment offers a high risk-to-return ratio because of the equity basis.

3. Debt mutual funds

Undoubtedly, investing in equity can provide you with the best returns, but it also carries a high level of risk. So, what are your options when you don’t have a high appetite for risk and don’t wish to take many risks? In such a situation, you should consider investing in debt mutual funds.

4. National Pension Scheme

National Pension Scheme is one of the best investment options available in India. Investing in the National Pension Scheme is a great way to prepare for and ensure a comfortable retirement. Pension Fund Regulatory and Development Authority regulates NPS, which the government backs.

5. Public Provident Fund

It is essential to note that Public Provident Funds is one of the best investment options and are government-backed schemes that offer guaranteed returns based on the applicable interest rates. The interest rate for the PPF is set by the government and may change every quarter according to the government’s decision. There is currently a 7.1% interest rate on PPFs, which will remain in effect until September 2022.

6. Bank Fixed Deposit

The banks offer Fixed Deposit schemes with the best FD rates to their customers, and this service ensures your money’s safety and your investments’ stability. In Bank Fixed Deposits, a lump sum amount of money will be deposited with a bank for a specific period at the existing rate of interest.

7. Senior Citizens’ Savings Scheme

Senior Citizen Saving Schemes are an investment plan for people approaching or who have reached retirement age. This type of investment is government backed and offers the benefits of investing a lump sum and getting a regular income stream after retirement.

8. Real Estate Investment

Investing in real estate is also one of the best investment options available today. Real estate consists of purchasing properties such as buildings and land to profit. Investing in this type of investment is one of the most effective ways of combating inflation in the long run. In addition to regular income, real estate investing can also give you the chance to earn capital gains.

9. RBI Bonds

The RBI Bond is one of the safest and the best investment options available today. To raise money for the development of various government projects, the Reserve Bank of India, referred to as RBI, issues bonds to the public for sale. There is a specific term associated with these bonds. Money and interest generated on the investment are returned to the investor after maturity.

10. Gold

There is a common belief in India that gold is the best investment to preserve a family’s legacy. However, these services have become less attractive due to rising costs and higher charges. As a result, there has been an increase in the popularity of Gold ETFs in recent years. This type of gold is commonly referred to as ‘paper gold.’ Stocks and investments in gold are included in gold ETFs. However, unlike expensive gold, the stock market allows you to acquire these commodities according to your financial capacity.