In today’s era, everyone wants a set standard of living that will lead to a comfortable lifestyle. And when it comes to financial settlement, what one primarily seeks is buying his own house! It’s a dream for millions of people, which can come true if one plans his finances smartly & invests accordingly to put them into buying the dream home. The various types of investments form a very important aspect of wealth creation.
Stocks: Stock investment is one of the most attractive investment options due to its high return potential. Stock investments carry higher risk and therefore have the capacity to generate high returns. You can expect an annual return of 15% – 18% from stocks if you know the art of investing in the right stocks at the right time. It is recommended to start with a small investment in stocks with an intent to learn before making big investments.
Mutual Fund: A mutual fund enables an individual to invest in a balanced portfolio of equities and bonds to stabilize the risk to return of the investments. The new market trend these days is investing in the stock markets through a mutual fund. They allow small investors to invest in funds through systematic investment plans or systematic transfer plans which do not burden the investor for a lump sum investment. Through this investment plan, the investor can expect an enhanced return as compared to any other investment option in the market. The investment in mutual funds can be a lump sum or monthly SIP for an amount as low as Rs. 500.
Equity Linked Savings Scheme (ELSS): You get a higher return of 15% to 18% while investing in ELSS. Investment in ELSS funds have a lesser lock-in period of 3 years and any earnings over and above Rs. 1 Lac are taxable.
Initial Public Offer (IPO): The best part of investing in an IPO is that the money gets blocked only for 7 to 15 days. Prudent investment in a good company coming out with IPO can fetch returns as high as 20-25% over a period of time.
Gold: It is one of the oldest and most assured investment options in India. You can either buy physical gold in the form of a biscuit, necklace, etc., or invest in different gold formats like gold deposit scheme, gold ETF, gold mutual fund, etc.
Recurring Deposits: it is one of the most appropriate investment options. This deposit can be created at a bank or a post office. The interest options are either monthly, quarterly, half-yearly, or cumulative.
National Savings Certificate (NSC): NSC is a low-risk, fixed income instrument that can be easily opened at any post office. National Savings Certificate comes with two fixed maturity periods of 5 years and 10 years. You are free to invest any amount, but investments only up to Rs. 1.5 Lac helps you with tax deductions. The interest earned over the period of time is not tax-free.
Public Provident Fund: It is considered the safest and most secure long-term investment product amongst others which is the best available investment option. It is completely tax-free. The account can be opened either in a bank or a post office, and there is a lock-in period of 15 years.
Company Fixed Deposits and Bank Fixed Deposits: The company fixed deposits provide a higher rate of interest as compared to bank fixed deposits. However, the lock-in period is for a long tenure of a year plus. The returns payable are monthly, quarterly, or annually as per the bank guidelines for bank fixed deposits. However, interest in these deposits is taxable.
Just like from these options through which you can invest for your dream home, Mittal Builders also gives you numerous options to choose your dream home from.
For more details please visit www.mittalbuilders.com