Best Financial Instruments To Invest In India
As An Beginner Investor We Should Know That There Is Not Only Stock Market As An Investing Instrument But There Are Various Investment Instruments In Which We Can Invest While Sitting At Home And Might They Also Give You Good Returns.
Major Investing Instruments in India Are:-
1. FD (Fixed Deposit):- Fixed Deposit Is Considered a Very Safe Investing Instrument As Banks And NBFCs Take Fixed Deposits Which Are Very Safe Financial Institutions And It Also Offers Fixed Returns And Is Not Affected By Market Fluctuations So If You Does Not Want To Take Risk FDs May Be a Good Investment Option For You.
2. Mutual Funds:- Mutual Funds Is Also Categorized Under Very Safe Investment Instrument As Your Money Is Invested And Managed By Highly Professional Fund Managers And You Can Start a Monthly Systematically Investment Plan (SIP) And Can Regularly Invest Starting With a Low Capital. It Is Also Considered a Good Investment For Those Who Want To Invest In Equities Or Shares But Have No Knowledge About It And Does Not Want To Take Risk Themselves And Still Want To Get Returns From Stock Market.
3. Direct Equities:- Direct Equities Are Considered To Have Some Amount Of Risk But If Proper Knowledge Is Gained Then It Could Minimize Your Risk As Well As Give You One Of The Most Highest Returns Than Other Investing Instruments. By Buying Shares Shareholders Become a Small Owner Of The Company In Which They Have Invested So They Should Be Careful To Choose Which Company Would Perform Better And Give a Good Return.
4. Debt Markets:- Debt Market Also Known As Money Market Is Considered Less Riskier Investment Instruments Than Direct Equities As It Gives Us Fixed Returns And It is Also Considered Less Volatile. Major Big Bodies In Money Market Are Banks, FIIs(Foreign Institutional Investors), DIIs(Domestic Institutional Investors) And Insurance Institutions. Money Market Is Also Called Debt Instrument Because As Big Companies Need Some Funds, Big Government Bodies Also Need Funds From Public So Bonds Or Government Securities Are Issued By Them To Take Funds For Which They Have To Do Regular Bond Payments In This Case Investors Are Lendors Who Gets Fixed Rate Of Returns In a Fixed Period Of Time. You Can Imagine How Big Money Market Is By Reading a Fact That Money Market Has a Daily Volume Of Around 5,000 Crores.
To Get Regular Knowledge About Investments And Stock Market Keep Reading Our Daily Blogposts We Will Meet Next Time.
Until Then,
Stay Safe and keep Learning.
0 Comments