Investing is an essential aspect of personal finance management. However, it can be a daunting task to choose between various investment options. With traditional investment methods offering low returns, investors are always on the lookout for safe investments with high returns in India. This article will discuss the safest investment options available in India that offer high returns.
1. Fixed Deposit
Fixed deposits (FDs) are the most known and utilised investment options in India. It is a secure and safe investment option that guarantees returns, making it one of the best safe investments. FDs offer a fixed interest rate for the duration of the investment, which can range from one month to ten years. The interest rate is typically higher than that offered by savings accounts, which makes it lucrative for investors looking for safe investing options. With Bajaj Finance Fixed Deposit offering interest rates of up to 8.60% p.a., you can open a FD with us in minutes because of our 100% online journey.
2. Public Provident Fund (PPF)
Another popular safe investment option in India is the Public Provident Fund (PPF), a government-backed savings scheme. The account can be opened with any post office or authorised bank. The returns on PPF are tax-free, which makes it an attractive option. Additionally, the guaranteed returns on PPF are better than those offered by traditional bank savings accounts. The interest rate changes from time to time so are the minimum investment amount.
3. National Pension Scheme (NPS)
The National Pension Scheme (NPS) is a government scheme that offers investors good returns with minimal risk. The NPS is ideal for those looking for long-term investments as it provides substantial returns over a more extended period. The scheme offers three types of funds - equity, corporate bonds and government securities, which give investors the flexibility to choose their preferred investment strategy. The returns on the NPS vary based on market performance, but the average of the last five years hovers around 10% per annum.
It is a popular investment option, primarily due to its high liquidity and intrinsic value. Gold has historically been an excellent hedge against inflation, making it a reliable investment option. Investors can invest in gold in several ways, such as physical gold, gold ETFs, or gold funds. However, physical gold comes with issues such as safe storage, making gold ETFs and gold funds a safer investment alternative.
5. Recurring Deposit (RD)
A Recurring Deposit (RD) is a savings scheme offered by banks that helps investors accrue a fixed amount at regular intervals. An RD account can be opened for a minimum of six months and a maximum of ten years. The interest rates on RD vary from bank to bank and are slightly higher than the interest offered by a savings account. Bajaj Finance Systematic Deposit Plan is also one such investment option. It comes with multiple investment tenures and an amount.
Investing in safe investment options with high returns is critical to ensure a successful financial portfolio. Among all, a fixed deposit is one of the safest investment options offering high returns. Investors considering Bajaj Finance Fixed Deposit for their financial goals and portfolio diversification will be at peace since it comes with CRISIL AAA/STABLE and [ICRA]AAA ratings making it one of the safest investment options in the country.