Investment options for a average salaried person

[AmritSaroe]

So I was calculating how much return I can get via fixed deposits and I found out that some of the small finance banks are offering 8% returns and I was wondering is it as simple interest or compound interest, also I want to know about more investment options that offers better returns maybe above 12% or atleast better then fixed deposits and have no high risks

 

[arjungoyal12]

Each bank has calculator. So, you must calculate through that. I'm speaking from my personal experience as I have 25k FD with HDFC and will get 27k something after 1 year. Then, I saw Mahindra finance providing more than 8% interest. I calculated on their webpage the returning amount was low compared to HDFC where I'm getting 7.1% interest rate

 

[arjungoyal12]

Are you hesitant about mutual funds investment?

 

[ShavirB]

So I was calculating how much return I can get via fixed deposits and I found out that some of the small finance banks are offering 8% returns and I was wondering is it as simple interest or compound interest, also I want to know about more investment options that offers better returns maybe above 12% or atleast better then fixed deposits and have no high risks

It is Compound Interest. In my knowledge, there are NO investment options offering 12% Interest without ANY risk.

You can explore P2P Investment or Invoice Discounting. Both of these generally offer better returns than FD but are highly risky options.

 

[Prince]

In Continuations to FD's
Some Banks Compound Interests on a Quarterly basis and some on half yearly basis. Hence there is variance on the same amount return.
You can check on Bank webpage for the same
Also, Small finance Banks do provide the higher rates as compared to other standard Banks., but they are limited to 9-10% on upper case.
Hence there is no risk-free Investment providing return above 7-10% in case of FD's.

You can look for Mutual Funds and Equity, but the return is not standard and one should be invested for a longer period to generate descend returns to good returns in the long run.

If you're looking for short term return then you can look for invoice discounting applications where we can get 13-14% PA for short periods such as 30 Days to 120 Days. FYI - it's not Risk free as compared to FD but are less risky as compared to P2P lending's., as in invoice discounting you are lending to companies who are in business and has good creditability's.

 

[AmritSaroe]

Are you hesitant about mutual funds investment?

I don't understand mutual funds actually. How much returns mutual funds provide on average basis

 

[AmritSaroe]

In Continuations to FD's
Some Banks Compound Interests on a Quarterly basis and some on half yearly basis. Hence there is variance on the same amount return.
You can check on Bank webpage for the same
Also, Small finance Banks do provide the higher rates as compared to other standard Banks., but they are limited to 9-10% on upper case.
Hence there is no risk-free Investment providing return above 7-10% in case of FD's.

You can look for Mutual Funds and Equity, but the return is not standard and one should be invested for a longer period to generate descend returns to good returns in the long run.

If you're looking for short term return then you can look for invoice discounting applications where we can get 13-14% PA for short periods such as 30 Days to 120 Days. FYI - it's not Risk free as compared to FD but are less risky as compared to P2P lending's., as in invoice discounting you are lending to companies who are in business and has good creditability's.

"but they are limited to 9-10% on upper case."

Can you elaborate this part?

 

[Prince]

Sure, by that i meant the maximum return you can generate in FD is 9-10% from Small Finance Bank FDs depicted in the image below.

 

[theraj0007]

So I was calculating how much return I can get via fixed deposits and I found out that some of the small finance banks are offering 8% returns and I was wondering is it as simple interest or compound interest, also I want to know about more investment options that offers better returns maybe above 12% or atleast better then fixed deposits and have no high risks

RISK IS EVERY THING IF YOU DONT WANT RISK THEN INVEST IN GOLD/SILVER ETFS OR FD THROUGH STABLE MONEY APP FOR HIGHER RETURNS AND IS ALSO SEBI REGULATED

 

[zacobite]

So I was calculating how much return I can get via fixed deposits and I found out that some of the small finance banks are offering 8% returns and I was wondering is it as simple interest or compound interest, also I want to know about more investment options that offers better returns maybe above 12% or atleast better then fixed deposits and have no high risks

simple interest compounded quarterly or annually basis the fd you choose so yield will be higher.. there is NO option above FD rates that gives you 100% safe returns.. VPF can be an option if u want..liquid funds can be better from tax perspective but marginal difference

 

[Artharjan]

There are many investment options for salaried individuals, each with its own advantages and risks.
For guaranteed returns and tax benefits, consider PPF or NSC. ULIPs offer insurance and investment in a single plan, with tax benefits on premiums and maturity proceeds.
Fixed deposits (FDs) are safe but may not beat inflation. P2P lending offers potentially high returns but involves risk.
The National Pension Scheme (NPS) is a long-term retirement plan with tax benefits and market-linked returns.
Choose the plan that best suits your risk appetite, financial goals, and tax-saving needs.