Every investor in India invests with a notion of availing maximum return in a specific tenure with minimum risk involved. Some invest keeping in mind their financial security while some go for investment goals.
Generally, investors invest money for high-interest returns. In this article, you will get an insight into these investment plans and their sustainability in the market.
Guaranteed Tax Savings
Under sec 80C & 10(10D)₹ 1 Crore
Invest 10k Per Month*Zero LTCG Tax
Unlike 10% in Mutual Funds*All savings are provided by the insurer as per the IRDAI approved insurance plan. Standard T&C Apply
Grow Your Wealth !
Best Plans With High Returns Available On One Platform
Let us analyze and understand the best investment options with high returns in India step by step
Investment is considered as an extra source of income that funds your retirement or helps you at the time of financial crisis. It is wise to invest your money as per the investment options available keeping in mind your needs and requirements. From low-risk to high, from short-term to long, all kinds of investment plans are available in the market.
Let us look at some of the investment plans:
One of the most popular investment options these days, mutual funds refer to a pool of accumulated sums by various investors. A mutual fund is an investment vehicle formed when an asset management company (AMC) or fund house pools investments of various individuals to earn a return on their capital over some time.
The returns are generated as per the market performance of the fund. Even though the risk exposure in mutual fund investment is higher, it offers much better returns as compared to other best investment options in the market.
Being a government-backed scheme, PPF is one of the most secured and trusted investment plans in India. A tax-free investment, a PPF account can be opened in your nearby bank or post office. The invested money is locked for the tenure of 15 years. Moreover, in this investment option, you can earn compound interest on the accumulated money. You can also extend the time frame for the next five years.
Financial Year |
Interest Rate |
2012-2013 |
8.8 |
2013-2014 |
8.7 |
2014-2015 |
8.7 |
2015-2016 |
8.7 |
2016-2017 |
8.1 |
2017-2018 |
7.6 |
2018-2021 |
7.6 |
For investors looking for good returns with minimal risk involved, bank fixed deposits are the best options to invest in. By investing in FD, you can get assured returns at a fixed interval of time. The profits are payable month to month, quarterly or yearly, according to the bank rules.
Parameters |
Fixed Deposit |
Tax Savings on Returns |
Returns are taxable |
Tax Savings on Premium |
The tax savings Fixed Deposits offers tax exemption |
Long Term Capital Gain |
Fully Taxable |
Life Cover |
No life cover benefits |
Historical Returns |
5%-6% |
Lock-in period |
A lock-in period of 5 years |
Regulated and administered by the Pension Fund Regulatory and Development Authority(PFRDA), National Pension Scheme is a reliable government-backed plan. Any individual aged between 18 years and 60 years can open the National Pension Scheme Account.
A Government-sponsored savings option, specifically designed to provide financial security to the senior citizens of the country. The Senior Citizen Savings Scheme offers regular income to Indian residents aged 60 years and above even after retirement. The deposits under the scheme are invested for the tenure of 5 years and also can be extended once by the addition of 3 years.
SCSS is available across India through post offices and banks. The maximum amount one can invest in this scheme is 15 lakh rupees.
For Senior Citizen Saving Scheme eligibility, you need to fulfill the following criteria.
An applicant can be in 55-60 years of age, provided the person has been retired under the VRS category. The retired policyholder must have a Senior Citizens Saving Scheme account within 1 month of enjoying the retirement benefits. Also, the invested amount cannot be more than the amount of the retirement benefits.
Pradhan Mantri Vaya Vandana Yojana is a non-participating, non-linked pension scheme that is launched by the Government of India. The modified scheme includes pension rates and an extended period of sale of this policy for an extended time of 3 years from the financial year 2020-21 up till 31st March 2023.
Pradhan Mantri Vaya Vandana Yojana offers a loan and the interest on it would be recovered from the pension sum, payable under the plan. The applicable rate of interest should be based on options that are approved by the IRDAI.
For buying the Pradhan Mantri Vaya Vandana Yojana scheme, you need to be eligible in the following criteria:
Parameters |
Details |
Policy Tenure |
10 years |
Premium Paying Term |
10 years |
Premium Paying Mode |
Yearly, Semi-Annually, Quarterly, and Monthly. |
Entry Age |
60 years |
Maturity Age |
70 to 10 years after the entry age |
Grace Period |
30 days |
Sum Assured |
A maximum pension of ₹1,11,000/ can be availed |
Liquidity |
The loan can be availed under this plan |
These are some of the top investment plans one should consider if you are looking to invest your money for high-interest returns.
However, there are some more plans that you can look out for referring to the table below.
Investment Options |
Period of Investment |
Who Can Invest |
Risks |
Returns Offered |
Direct Equity |
NA |
An investor who knows to balance risk and return |
High |
NA |
Mutual Funds |
Within a scheme like ELSS a lock-in period of 3 years |
An investor who has an appetite for medium to high risk |
Low-High |
Market-Linked |
National Pension Scheme |
60 years |
An investor looking forward to retirement plans |
Low-High |
Market-linked ( 8 to 10 percent) |
Public Provident Fund (PPF) |
15 years |
Long-term investment goals |
Nil |
7.9 percent |
Bank Fixed Deposits |
7 days |
One who doesn’t wish to take the risk or be exposed to an equity |
Nil |
Fixed Returns, different from bank to bank |
Senior Citizen Savings Scheme (SCSS) |
5 years |
Senior Citizens |
Nil |
8.7 percent |
Real Estate |
5 years |
Anyone |
Medium |
19-15 percent |
Gold ETF |
NA |
Anyone |
Low – Medium |
Market-linked |
RBI Bond |
7 years |
Indian Citizen |
Nil |
7.75 percent |
Pradhan Mantri Vaya Vandana Yojana (PMVVY) |
10 years |
Senior Citizens |
Nil |
7.4 percent |
Unit Linked Insurance Plan (ULIP) |
Less or equals to 45 years |
An investor keen on wealth creation and life cover |
High |
Depending on the investor’s profile |
Post Office Monthly Income Scheme (POMIS) |
5 years |
Indian Citizen |
Nil - Low risk |
7.7 percent |
Initial Public Offerings (IPO) |
NA |
An investor should have a Demat cum trading account |
Moderate-High |
NA |
The thumb rule of making a smart investment is to keep a proper understanding of the different types of investment options available in the market. For most investors, the purpose of the investment may vary depending in terms of financial objective, period, and risk levels, so forth. Thus, to make the money grow, an individual needs to invest in smart investment options that can generate lucrative returns in the long term.
21 Jun 2022
National Savings Certificate, popularly known as NSC, is a...15 Jun 2022
With Rs. 40 lakhs to invest, you have a lot of options to create...14 Jun 2022
Investing a huge sum of Rs. 10 Lakhs calls for some caution on...14 Jun 2022
The Indian Post Offices issue Kisan Vikas Patra or KVP to...Insurance
Policybazaar Insurance Brokers Private Limited CIN: U74999HR2014PTC053454 Registered Office - Plot No.119, Sector - 44, Gurgaon - 122001, Haryana Tel no. : 0124-4218302 Email ID: enquiry@policybazaar.com
Policybazaar is registered as a Direct Broker | Registration No. 742, Registration Code No. IRDA/ DB 797/ 19, Valid till 09/06/2024, License category- Direct Broker (Life & General)
Visitors are hereby informed that their information submitted on the website may be shared with insurers.Product information is authentic and solely based on the information received from the insurers.
© Copyright 2008-2022 policybazaar.com. All Rights Reserved.
*T&C Applied.