Investment Plans
Basically, an investment plan is a financial product that gives you a chance to save your money and future as well. The benefit of choosing the life insurance plan is that it can create wealth for the future and gives you life coverage also. Life insurance plans come in two types, one is based on Unit Linked Plans (ULIPs) which are based on market performance and the other one is endowment plans and this plan offers a lump sum amount at the end of the policy term. These types of schemes and investment plans cover the life coverage of you and your family.
Top Best Benefits of Investment Plans
Protect Your Family
Goal-Based Planning
Build Fund Reservoir
Tax Benefits
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Main Objective of Investment Plans
Every investor has different objectives so their plans are. Some of the top most popular and common investment plans are:
Safety
Everyone is looking for safety while investing somewhere or you can say it’s one of the prime objectives for everyone. There are numerous investment plans available in the form of ULIP that offers you 100% ensured bring probability back.
Income
After security, comes compensation. The most secure investment plans are the ones that are probably going to have a lower yield or rate of income return. Investors take risks so that they can get better results and earn more. When the returns increase, the peril will automatically increase.
Tax Minimization
Many of us want to save our money from tax and this is the only reason people choose investment plans. It’s a strategy to save your hard-earned money from tax. According to the income tax act 1961, the investor can get tax cuts under the section of 80C, 10(10D) and it is totally legal.
Frequently Asked Questions
Debt Mutual Funds
Debt mutual funds are one of the safest and most preferred investment plans with high returns; the money is majorly invested in high-rated debt instruments like corporate bonds, government securities, and treasury bills
As PPF investment is a relatively safer option but it offers much lower returns over a longer time horizon than ELSS.
These are some options in which middle-class people can invest:
- Public Provident Fund
- RBI Bonds
- National Pension Schemes
- Debt Mutual Funds
- Bank Deposits