Investment Plans are financial tools that help build lasting wealth over time. There are different one time investment plan that allow us to put our saved money into various market products regularly and systematically so we can reach our financial targets.
Generally, investment strategies are good for growing our savings over a long period of time and helping build money for later life. When starting with an investment strategy, you must look at how much risk you can take and what your financial goals are before picking a plan that matches these requirements. Some of the one-time investment options include:
Mutual Funds
A mutual fund happens when funds are gathered from many investors and put into a firm's shares or bonds. Usually, this fund belongs to lots of investors together and it is managed as one unit to make the most money back.
Gold ETFs
Gold ETFs are special because they combine trading similar to stocks with the touch of gold. They offer options for both short- and long-term investments, making them a preferred option when expecting gold prices to go up.
Liquid Funds
Mutual funds that are liquid provide an option for investing over a short period, the maximum being 91 days. These are suitable for individuals who desire to temporarily allocate their money while exploring different investment choices.
A big benefit of liquid funds is that they have a tax advantage; when you keep the investment for some time, the taxes you pay are quite small so you can save more money.
Equity Funds
These funds are designed for investors who think about the long future. How long you keep equity funds affects tax advantages, and when they mature, they will be taxed as a lengthy or brief capital gain based on how long you invested.
Debt Funds
When you consider the short-term perspective and want regular earnings from an initial investment, debt funds come out as a good option. This is because there is less risk; they put money into debt securities that are usually stable.
National Pension Scheme (NPS)
The National Pension Scheme is a kind of investment for saving money until you retire, and it includes different ways to invest, like shares in companies, fixed deposits, company loans through bonds, cash funds that are easy to take out quickly, and loans given to the government. You can put money into this scheme either all at once or by paying smaller amounts over time.
Fixed Deposits (FD)
Fixed Deposits are a classic way to invest money. You can put your money in for a certain time, which can be from some days up to many years. The main thing about Fixed Deposits is that they promise you will get something back because the interest rate does not change while your money stays there.
Conclusion
Making a choice among investment opportunities gets easier if you look at the risk and the possible return of each plan. It's important for a clever investor to mix different types of investments into their financial collection, picking plans with various levels of risk that match what they need financially.
When selecting the most suitable investment plan, it is necessary to align your goals and financial targets with what you have available in terms of finances.
Disclaimer: Mutual Fund investments are subject to market risks. Read all scheme-related documents carefully.
