When it comes to investment, every investor aims to get sky-high returns within a short period. Above all, investors also don’t want to lose their principal amount. This is why most of the beginner investors are always in the hunt for the best investment products. As an investor, you should know, that short term plans with high returns and low risk don’t exist. Financial and non-financial assets are one of the best places to invest money.
In investment products, both risk and returns go hand in hand. In other words, the higher the returns, the higher the risk. Here are the best 3 places where you can invest your hard-earned money and enjoy good returns.
Equity Mutual Funds
Equity mutual funds commonly invest assets in equity stocks. According to various fund managers, an equity mutual fund scheme should invest 60-65 percent of generated assets in all equity-related products or instruments. This type of mutual fund scheme can be managed actively and passively.
In this type of investment plan, the returns and risk factors depend primarily on the fund manager’s capabilities. Above all, the market conditions also matter a lot. You might be thinking why these investment plans are highly recommended. Yes, whether you are a new investor or experienced in this field, mutual funds offer decent returns, and the risk factor is comparatively very low.
However, if you are expecting jaw-dropping or sky-high returns, mutual funds shouldn’t be your choice. The key to gaining risk-free higher returns is to start investing in smaller products and learning the market conditions.
You might think investing in properties requires huge capital, and it’s an old-fashioned investment idea. The house in which you are living now is for self-utilization. You should never consider your current house as an investment. You should aim to generate money from your primary and secondary source of income and invest that money by buying properties.
The location of your property itself plays a very important role that determines the future and value of your property. When you invest in a property, there are two types of returns- rental and capital appreciation. However, real estate is highly illiquid compared to other asset classes. There are various advantages and disadvantages while investing in real estate. Therefore, if you want to be a smart investor, consider investing money in real estate.
Like properties, you can invest money in gold products and use them in multiple ways. Acquiring gold in the form of jewelry has its own pros and cons, like safety. If you prefer low capital investment ideas, then start investing in gold coins.
Nowadays, many public and private banks sell gold coins. If you are concerned about the safety, making charges, and high cost, then own paper gold. Investing money in paper gold is a smart option where you spend less and don’t have to think about safety. You can exchange paper gold with ETFs, NSE, or BSE in the stock market. Investing in gold is one of the best places to invest money for long-term investors.
Some of the above investments offer you a decent income, and some depend on your personal choice and risk factor. If you are serious about your investment, then prefer both fixed-income investments and market-linked investments. Take the right decision now, and enjoy your retirement period.