4 Safe Investing Options With Apt Returns in India

People of different age groups have been researching the best and safe investment options for apt  returns in India. The common objective is to increase wealth and secure it for their future. While looking for return investments in India is important, seeking safe investment options has become primary. It is due to the increased uncertainty in the global economic field.

Safe Investments With Apt Returns In India

There are various safe and return investments in India. However, you must consider the different product features, look at their cost and choose the most affordable option based on your financial needs.

• ULIP - Unit Linked Insurance Plan(ULIP) is one of the safest investment options in India. ULIP insurance is a comprehensive life insurance plan that provides dual benefits, life cover and market-linked returns at maturity.
  
  The life cover will secure your family's financial future in the event of your unexpected demise, and the market-linked returns will help increase your wealth during the policy term. Therefore, one portion of the premium is utilised by the insurer to provide a life cover and the other to invest in financial securities for market-linked returns.
  
  Here are a few pointers to help you understand why it is one of the safest investments in India.
  
  
  • The ULIP investment can be made based on the risk appetite in varied ULIP funds provided by the insurer. There are equity, debt and hybrid funds .For example, our Tata AIA life insurance policy with the ULIP benefits offers 11 fund options for different investors.
  • Investors can switch between the different fund options during the policy term in case of an economic downturn.
  • The fund managers can handle your investment profile and make timely switches to maximise your return at the end of the policy term.
  • ULIP plan has a lock-in period of 5 years, after which partial withdrawal becomes permissible.
  • Therefore, choosing the right fund option, switching between them when required and staying invested in the ULIP policy will provide an apt return at maturity.

• Mutual Fund - Investing in mutual funds is another safe investment option in India. A mutual fund refers to a pool of investors managed by an Asset Management Company investing in one fund option and sharing the financial benefits.
  
  Here are a few pointers to suggest why it is regarded as a safe investment in India:
  
  
  • The fund is monitored and managed by an Asset Management Company.
  • You can invest in mutual funds as a Systematic Investment Plan(SIP). It means you can invest in it as a smaller amount monthly or annually. As a result, you will develop the discipline to invest money at your pace safely while accumulating returns during the longer policy term.
  • Investing in a mutual fund for a longer policy term can provide an apt return
    
    
• NPS - National Pension Scheme is a retirement pension plan wherein you will invest a certain amount annually for a longer term until retirement. The scheme accumulates the fund during the investment term and matures when you become 60 years old. At maturity, you can withdraw a certain portion of the accumulated fund and use the remaining amount to buy an annuity plan that can provide a regular income after retirement.
  
  Here are a few pointers to explain why it is one of the safe savings with apt returns in India.
  
  
  • It is a scheme introduced by the Government Of India.
  • Investors have the active and auto choice of investment.
  • Investors can use the active investment strategy to decide on the proportion and type of investment, such as in equities, government securities, etc.
  • And in the auto choice option, the fund is allocated according to a predefined strategy based on the risk profile.

• PPF - Public Provident Fund is another major safe and apt return savings in India. It has a lock-in period of 15 years and offers a apt-interest rate. In addition, the accumulated fund and the interests earned will qualify for a tax* exemption under the Indian income tax* laws.
  
  Here are a few pointers to suggest why it is considered one of the safe investments in India.
  
  
  • It is a government scheme.
  • The investment is not made in the financial market. However, it guarantees¹ an apt return after the long-term investment.
  • Investors can choose the regular investment amount based on affordability, ranging between ₹500 and ₹1.5 Lakh.

Which is the Right Investment Option for Me?

While there are different safe investment options in India, choosing the right product is crucial to ensure the required benefits. So how can you go about doing that?
 

• Analyse your financial need. List down your short-term and long-term financial requirements.
• Account for the inflation rate to get an approximate figure.
• Analyse your current financial status based on your income, expenses and other liabilities to find how much maximum you can invest comfortably.