Investing your money can be a great way to secure your financial future and build your wealth. However, many people avoid investing because they think it requires a lot of money or they don’t know how to invest money. You don’t need a lot of money to start investing in India. There are several ways to invest your money, including mutual funds, stocks, fixed deposit schemes, provident fund, direct equity, gold, Senior Citizen Saving Scheme and even real estate.
Investing is a great way to grow your money over time and can be a smart way to diversify your portfolio. If you’re unsure how to invest money and where to start, consider consulting with a financial advisor. You can trust them to help you find the perfect investments based on your goals and risk profile.
Listed below are some of the best investment schemes to start investing if you have little money
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Direct Equity
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There are several ways to invest your money, but one of the most powerful is direct equity which is one of the most popular types of investment. When you purchase stock in a company, you acquire a portion of its ownership. As a result of your investment, the company will be able to grow and develop more effectively and efficiently. For an investment to be successful, you will need sufficient time and a good understanding of the different types of investment options in the market to reap the rewards of investing.
Senior Citizen’s Savings Scheme
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The SCSS is only available to seniors and those who have chosen to retire early since they are the only groups who will be able to take advantage of it. However, it remains one of the best ways to invest their money in India for those seniors over the age of 60 who can invest in SCSS from their nearest bank branch or post office.
Fixed Deposits
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When you deposit a lump sum of money with a bank or financial institution for a fixed period, you can earn a predetermined interest rate on your fixed deposits. Banks and financial institutions offer fixed deposit options as an investment option to their customers. You can also calculate fixed deposit maturity amount in advance using fixed deposit calculator tool. Using a fixed deposit calculator, you can calculate the earnings you will receive when your fixed deposit matures based on the amount of money you deposit and the interest rate associated with the fixed deposit scheme you have chosen. Individuals can calculate the interest rates of Fixed Deposits online by using the Fixed Deposit Calculator.
National Pension Scheme
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The National Pension System is relatively new in terms of tax-saving investment options. Investors who join the National Pension System are required to remain locked in until the end of their retirement age, and they are entitled to higher returns than those who join the Public Pension Fund or the Employees’ Pension Fund. It is essential to note that calculating the fixed maturity amount of an NPS scheme is not as simple as calculating the fixed maturity amount of a fixed deposit using a fixed deposit calculator.
Public Provident Fund
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A PPF is a type of long-term investment plan that usually has a maturity period of 15 years and is intended for long-term investments. Because it offers a tax-free interest rate on top of its compounding interest rate, it offers a high return on investment. Despite this, the government reviews the interest rate at least once a quarter. In addition, there is an assured return on investments that are made in the PPF because a sovereign guarantee protects the principal and interest earned on the investment.
National Saving Certificates
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National Saving Certificate is a national savings scheme introduced by the Government of India. It is a small savings instrument that offers the investor a fixed interest rate for a specified period. The investment in National Saving Certificate is eligible for deduction from total gross income under section 80C of the Income Tax Act, 1961.
Mutual Funds
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The popularity of mutual funds has been increasing among younger generations, especially those who are part of the millennial generation, particularly over the past few decades. Among the various types of investment vehicles, the mutual fund is one of the best because it pools money from a wide range of individual and institutional investors with the goal of investing in a particular asset class.
