1. It is best said that always save money for the rainy day so it is not important to earn but it is very important how you save and invest your money.
2. One should workout realistically the assets and the liabilities as for yearly, quarterly, monthly etc. Then invest the balance amount in a righteous manner.
3. If we consider the interest part in terms of returns and safety.We will follow the following as a guide line:
a. Banks - safest,low returns.
- Savings account the interest rates are only 3% to 3.5%.
- Recurring deposit - 4% to 6%.
- Fixed deposit - 6% to 8%.
- Bonds - 7% to 10%.
b. Mutual Funds - Low risk, High/Low returns.
- Based on various schemes the returns could range from 8% to 60%, which can be invested by minimal research on websites like moneycontrol.com valueresearchonline.com, indiastudychannel.com etc.
c. Shares - High risk,high returns.
- All investments are subjected to market risks. Even a well known analyst will not be able to time the market. However the returns could range from -200% to +200%.
d. PPF, NSC - safe, moderate returns
- Theses investments are safe with moderate returns but are very long term investments.
4. A house and gold investments are always good.
- House-Tax Benefits, Own a Property,
- Gold-Saving for the rainy day.
5. Smart investment is the order of the day.
- Set goals, save 30% to 50% from net income.
- Invest in the order of priority.
* mutual funds.
* Fixed Deposits/Recurring deposits.
6. The earlier the better, the benefits of compounding can be reaped to the fullest.
"YOU CANNOT FAIL, UNTIL YOU QUIT"
in pension plans.
It is always safe to invest on land and gold.
" Be Good and Do Good "
Second option is property but this the always based on the location where you want to make a purchase of property. The price of property can be stable sometimes but the price of Gold will always rise and also you can see the record of years.
Stock market is always under the risk. We should need to think very carefully before investing in the stock market.
If you really want to invest in stock market then I suggest you to invest in the mutual fund. As in mutual fund the fund manager decide to invest money with his own experience and you will get less risk.
Select some growth funds from some of the top amc's and choose a sip.Regarding fixed deposit both company(some top companies) and banks are paying a very good interest rate.
If you are close to your retirement age then to minimize the risk invest some amount in govt bonds and ppf.
You can invest in real estate,gold and mutual funds also.
The best policy in terms of investing is not to rely on any one product. You should divide your money into different categories.
1. First of all you should have money in your savings account. Thumb rule is that you should have sufficient money to take care of your needs for atleast 5-6 months.
2. Save some money for big expenses that will come in your lifetime such as education and marriage of children. A rough estimate for a 26 year old person would be to have Rs. 2000 invested per month per child for marriage. Similarly investment of Rs. 1500 per month per child will suffice for his/her college admission.
3. Plan for your old age. Take a pension plan for sure. Invest around Rs. 3000 per month in it. This will go a long way in securing your old age expenses. If you are salaried person you will be having a PF account. That is also very helpful. You can even contribute to your PF by investing extra amount to it every year. LIC's Jeevan Saral is very good option.
4. Take a health insurance plan. You can consider Apollo Munich and Max Bupa for the same. These two do not have any sub limits like other plans and they also cover maternity benefits (after 4 & 2 years respectively).
5. Take a term insurance. Always prefer a term insurance over other forms of insurance because they are cheap. Secondly the remaining amount can be invested in other avenues giving more return than insurance companies. You can consider LIC and REligar I-TERM plan for the same.
Invest the remianing amount for better returns -
6. Invest around 20% of the amount in buying GOLD ETFs. Gold ETF is better than buying gold because there is no fear of loosing. There are no charges that are deducted when you sell gold. ETF dealing is easier. The demand for gold is increasing and the risk with share market is also increasing so the chances of gold prices going up is very high. Thus you can achieve high returns with less/ Medium risk.
7. Start inesting in Shares by investing in Mutual Funds. But with even a small careful study you can invest in Stocks directly. If you are new to share trading then go for large cap mutual funds or index funds. they are pretty safe. you may consider Quantum mutaul fund. Investing in stocks is risky but it gives high returns. Investing in Mutual Funds have one more advantage that you can swith your portfolio to suit your needs and market conditions. Thus you can get high returns with low/ medium risk.
8. You can invest in property/ land but do a complete check before investing in property/land. There is high risk involved. Though you can get high returns from this.
Post office's MIS also will be best option for investment. MIS mean monthly income scheme. You can earn monthly basis on deposit under this scheme. The maximum deposit limit is nine lac. you will get income by your deposit rupee as 8% yearly interest base.
After 6 year you will get your total deposit money with 5% bonus. The MIS can be open any head post office or branch office.
Please don't invest your money in share market, because the share marketing fild is high risk fild.
I think that the best investment fild for money is gold, platinum, or land.
If you think to invest money for future purposes (after 15 to 30 years), just invest in property in the developing place in your city around hospitals,malls,famous colleges,schools,bus stand and near markets.If you plan for still future purpose after 30 years, invest in gold.