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Tag: safe investments

  • Types Of Low-Risk Investment Options

    When it comes to investment plans, the risk is the chance or likelihood that the asset will either perform worse than expected or lose all of its value.

    So, different investment plans can be roughly divided into three groups based on the amount of risk they involve, as shown below:

    Before we get into understanding low-risk investment options, we need to understand how the right tech can enhance your trading journey. With Zebu’s online trading platform you can perform your investments seamlessly. As one of India’s biggest share market broker, we offer the best trading accounts with great advantages for our customers.

    Investing with low risk
    Low-risk investment plans are, as the name suggests, those in which the risk is close to zero. In other words, investments with low risk tend to grow in value steadily and reliably, but they also tend to lose less money. Here is a list of the best ways to invest money that can be thought about.

    1. Sukanya Samriddhi Yojana

    The Sukanya Samriddhi Account is becoming more well-known as one of the best ways for Indian girls to save money. If you have a girl child, this programme is meant to make it easier for the girl child to become wealthy. You can get a Sukanya Samriddhi Yojana account at both commercial banks and post offices. Under Section 80C of the Income Tax Act of 1961, you can also save a lot of money on your taxes.

    2. Public Provident Fund (PPF)

    Public Provident Fund (PPF) is one of the best ways to invest in India because it offers so many benefits. If you get paid a salary, PPF can help you in many ways. The interest you earn on your PPF is not taxed, but you can get a tax break under Section 80C of the Income Tax Act of 1961.

    3. Post Office Income Plans for Every Month

    Most people think that the Post Office Monthly Income Scheme is one of the best ways to invest. It’s best for people who don’t like taking risks and want low-risk plans with good returns. Here, you need to know that the income from monthly income plans from the post office is fully taxed, but the monthly income plans do not have Tax Deduction at Source (TDS).

    4. Government Schemes For Senior Citizens (SCSS)
    The senior Citizen Savings Scheme (SCSS), which is run by the Indian government, is thought to be one of the best ways to invest in India for a number of reasons.

    First, the plan gives senior citizens a lot of financial security. The second thing is that the government decides every three months what the interest rate will be for this plan. You can open an SCSS account at any bank or post office that is owned by the government.

    5. Tax Saving Fixed Deposits

    Tax Saving FD’s are thought by many to be one of the best ways to invest in India because they can help you save a lot of money on taxes under Section 80 C and reduce your overall tax liability.

    6. Sovereign Gold Bonds

    Sovereign Gold Bonds (SGBs) are issued by the Reserve Bank of India and backed by the Indian government. SGBs are securities that are worth their value in units of gold and can be used instead of holding physical gold (grams). At the end of the term, you can get your money back. This makes SGBs one of the best ways to invest in India. To easily invest in SGBs with Zebu, please get in touch with us.

    7. Life Insurance

    There are two types of life insurance that are low risk: savings and income plans and protection plans. There is no clear investment part to these life insurance plans, so they do not offer returns that are tied to the market. Instead, these life insurance plans give your family a strong financial safety net and good protection against life’s unknowns.

    8. Bonds

    Bonds are proof that you gave the issuer money at a certain interest rate. You could get interest payments on each bond on a regular basis, and in the end, you would get the face value back. You can also sell the bond before it runs out if you need the money. Bonds are thought to be one of the best ways to invest in India because they are fairly safe.

    Now that you understand more about low-risk investment opportunities, you need to understand how the right tools can help your Investment journey. With Zebu’s online trading platform you can perform your investments seamlessly. As one of India’s biggest share market broker, we offer the best trading accounts
    with great advantages for our customers.

  • Six Of The Safest Investment Options For Risk-Averse Individuals

    In India, there are several investment opportunities that give attractive returns. With so many alternatives, it’s understandable that one would be confused about where to invest. To determine which investment channel is the ‘best,’ we must first assess an individual’s requirement and risk tolerance. There are investment solutions that are tailored to an individual’s objectives and needs.

    Indians prefer to invest in government-backed securities since they are viewed as safe investment vehicles. The following are a handful of India’s most popular investment avenues:

    If you are considering investing then you need to make sure that you use the best broker for trading with the lowest brokerage on offer. Zebu empowers your online stock trading journey with a state-of-the-art trading platform as well.


    Bank Fixed Deposit (FD)

    Bank Fixed Deposit (FD) Bank FDs pay a substantially greater interest rate than standard savings bank accounts. 5-year tax-saving FDs are tax-deductible under Section 80C of the Income Tax Act, 1961, and investors can deduct up to Rs 1,50,000 per year. Senior citizens receive a little higher rate of interest on FDs. The rate of interest varies according to the duration of the investment, the amount invested, the resident status (NRI or not), and the bank. FDs are subject to a lock-in term. If you desire to withdraw within the lock-in period, the bank will charge you a penalty in the amount of interest deducted from the investment.

    The following are the primary features of bank deposits:
    You receive guaranteed returns over time.
    The most suitable investment for risk-averse investors.
    Partial withdrawals are permitted, as is borrowing against the balance.

    Public Provident Fund (PPF)

    PPF investments are subject to a 15-year lock-in term. PPF is regarded as one of the safest investments due to the scheme’s governmental guarantee. As with bank FDs, PPFs pay a substantially greater interest rate than a standard savings bank account.

    PPF’s key attributes include the following:
    Best suited for long-term financial goals due to the scheme’s 15-year lock-in period.
    Because the investment is not market-linked, it provides guaranteed returns over time.
    You have the choice of redeeming the entire corpus or extending the account for a five-year period.

    National Pension Scheme (NPS)

    The NPS is another government-sponsored retirement programme. The Pension Fund Regulatory and Development Authority manages the scheme (PFRDA). The NPS is made up of a variety of investments, including liquid funds, term deposits, and corporate bonds. There are numerous NPS schemes from which you can choose according to your needs. Interest rates vary amongst funds.

    NPS’s primary characteristics include the following:
    The scheme is offered to employees in all sectors.
    The scheme allows for annual tax deductions of up to Rs 2 lakh under the Income Tax Act, 1961.
    You can manage your portfolio passively or actively.

    Sovereign Gold Bonds

    Sovereign Gold Bonds Indians have a strong affinity toward the yellow metal. Gold investments are made through the purchase of gold jewellery, coins, and bars. Apart from real gold, investors can invest in gold through gold ETFs and sovereign gold bonds.

    SGB’s primary characteristics include the following:
    Investing in gold enables you to protect yourself against inflation.
    Due to the inverse relationship between gold and stock markets, investing in gold functions as a hedge against stock market declines.
    Gold’s price does not fluctuate dramatically over time, providing you with capital protection.
    SGBs give an interest of 2.5% per annum.
    The lock-in period is 8 years.
    SGBs are issued by the RBI.

    7.75% GoI Savings Bond

    7.75% G-Sec bonds replaced the previous 8% savings bond. These bonds were initially issued in 2018. As mentioned in the title, investors get annual interest at a rate of 7.75 percent. These bonds can be purchased for as little as Rs 1,000.

    The following are the primary characteristics of 7.75 percent GOI Savings Bonds:
    Your investments are guaranteed by governmental assurances, which safeguard your capital.
    You receive an assured annual rate of return of 7.75 percent.

    Recurring Deposit (RD)

    A recurring deposit is an alternative to a fixed-term deposit. Individuals invest a fixed sum on a regular basis using RDs. As with FDs, RDs pay a significantly greater rate of interest than a standard savings bank account. You can use your real estate development investment as collateral to obtain secured loans.

    RD’s primary characteristics include the following:
    Investing in an RD over a longer-term enables you to gradually instil a feeling of financial discipline.
    You do not need a significant sum to begin your investment; a small sum is sufficient.
    You have guaranteed profits over time because the investment is not tied to the stock market.

    Now that you have understood more about low-risk investments, you also need to ensure that you use the best broker for trading with the lowest brokerage on offer. Zebu empowers your online stock trading journey with a state-of-the-art trading platform as well.