Good Investment Options for 2013
We all make investments and it goes without saying that investments are the tools that provide financial security to us and our loved ones. Investment is like a tree that you plant today so that in future you and your family will be able to reap its fruits.
Earning money alone doesn’t solve your purpose. It is important for you to invest your earnings in a way that they churn out capital gains. In future these capital gains would lead to further growth and thus giving you the desired standard of living, security, safety and peace of mind.
Best Investment Options for You
While it is always difficult to accurately predict what future would bring, let us have a look at various investment options that you can try in the New Year. Following are the long term, short term and mid-term investment options for young, middle-aged as well as senior citizens that include mutual funds, fixed deposits etc. Take a look.
Investment Options in Equity
If equity is on your mind then there are reasons to turn bullish. Government is seen to be working towards new reforms even though the situation of a few sectors is in need of drastic improvement. The government will have to work harder in order to make things move in the right direction.
But as investing in equity is considered to be a long term investment, you may opt for staying invested in your stocks for the year and may look forward for more systematic investments in equity. Long term perspective for equity seems bullish but predicting its performance for the year is one thing that cannot be done as of now.
Mutual Funds Investment for 2013
If we follow the past return analysis for mutual funds, following growth funds look promising for the year 2013
- ICICI Pru Balance Fund
- ICICI Prudence Fund
- HDFC Balanced Fund
- ICICI Pru E and D Volatility ADV
- HDFC Prudence Fund
- DSP-BR Balanced Fund
- Reliance RSF-Balanced Fund
- Tata Balanced Fund
- FT India Balanced Fund
- Can Robeco Balanced Fund
If you wish to opt for small-cap and mid-cap mutual fund segment thean as per the past return analysis following growth funds may serve to be lucrative.
- HDFC MidCap Opportunities Fund
- Birla Sunlife MNC Fund
- SBI Magnum Emerging Busi Fund
- IDFC Premier Equity – A
- ICICI Pru Discovery Fund
- IDFC Sterling Equity Fund
Investment in Debt Funds
If we talk about the interest rates then it goes without saying that they are at its peak as of now. So, if investing in debt is what you have been planning for then now is the apt time. Banks and financial institutions have come out with attractive rates ranging from 9.25 percent to 10 percent for a span of 1 – 5 years. This is the best time to lock your money in Fixed deposits because these rates may come down eventually during the year.
Even tax-free bonds at 7.7 – 7.8 percent for a span of 10-15 years are also floating in market. Tax free bonds at these rates for a longer duration are sure to grab your attention if you are the one who is considering accruals over a period of time. However, it is also advisable to once inquire about the ratings. Debt funds can be more beneficial option for those who can manage debt funds actively. If you invest early during the year you will be able to catch hold of good rates.
Following are some of the fixed deposit schemes that you may take into consideration while you opt for investing in debt funds.
- Indian Bank – Variable Deposit Scheme
- Indian Bank IB Swarnanidhi Scheme
- SBH Double ka Meetha Fixed Deposit Scheme
- ICICI Dream Retirement Plan
- ICICI Dream Eductaion Plan Fixed Deposit Scheme
- Indian Bank recurring Deposit with Life Insurance Cover
- J&K Super Earner Deposits Scheme
- J&K Bank Recurring Plus Account
- Vijaya Bank – V Vaibhav Plan
- Bank of Baroda – Yatha Shakti Jama Yojna Fixed Deposit Scheme
Investment in Real Estate
In the past few years the real estate sector has witnessed enormous boom with people from all walks of life rushing to buy property as a part of long term investment program. This year too real estate would give you opportunities to churn money but the growth seems to be more if you invest in tier-2 and tier-3 cities. The big giants like Bangalore, Mumbai and Delhi have already churned out enough in the past and prices of property in these cities have already witnessed their due rise. It is always advisable to be cautious while you invest in property. Invest diligently when you find the offer truly attractive and make sure you do not get trapped in jinxed properties that may affect your financial planning in a negative way.
Investment in Gold
Going by expert opinions, it is being said that rupee would face appreciation. Gold has given promising returns in terms of rupee but has not been very promising in terms of dollar. It is advisable that you invest in gold but make sure it does not form more than 5-10 percent of your portfolio. Investment in gold through ETFs is, however, advisable.
Contributed By: Megha Sharma |
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Megha Sharma works as a guest lecturer in Delhi. She holds an MBA & Doctorate from the UPTU. With extensive knowledge and experience in various financial products, she also works as a consultant in banking & finance domains wherein she offers advice to her clients in managing personal finance. | |
