It is not necessary that you have a lot of money to invest. You can also protect your future by investing 500 or 1000 rupees every month.
new Delhi. None of us want to work for a lifetime. In such a situation, investing is very important to secure the future and fulfill all your responsibilities. But before investing, make sure to assess your income and think for what purpose you have to invest, how much money to invest and where to invest. You have to understand that there is a difference between investment and savings. Often people save, but do not invest. When you invest, you not only protect it, but try to increase it. It is not necessary that you have a lot of money to invest. You can also protect your future by investing 500 or 1000 rupees every month . Today we are telling you five such ways where you can get good returns by investing 1000 rupees every month.
Invest in stock of companies
You can make your portfolio good by investing 1000 rupees every month in the stock of various good companies in the stock market. Although you will not be able to invest in expensive stocks of big companies for such a small amount, but there are many companies which are growing well and their share price is less than Rs 1000. You can earn good profits by buying shares of such companies. But before buying any company’s stock, do research and buy the stock for the purpose that you have to sell it after 7 to 10 years. So buy shares of a company that is fundamentally strong.
Investment in mutual funds
You can also invest at least 500 rupees every month in mutual funds. Mutual fund companies raise money from investors and invest them in stocks of companies. For those who do not know much about investing in the stock market, mutual funds are a good investment option. Investors can choose mutual fund schemes according to their financial goals. The advantage of investing in a direct plan of a mutual fund is that you do not have to pay commission. Hence, your returns are greatly increased in long-term investment. You can invest in it through SIP. If you want, you can invest in equity mutual fund, debt mutual fund or hybrid mutual fund scheme.
Public provident fund
The lowest risk involved in investing in a public provident fund (PPF). There is no risk of money being drowned in it. Currently, PPF attracts an interest of 7.1 per cent per annum and the government also provides tax benefits of up to Rs 1.5 lakh for investing in PPF under Section 80C of Income Tax. Its lock-in period is 15 years. If you deposit 1000 rupees every month in PPF for 15 years, then the total deposit becomes 1,80,000, but in return you will get Rs 3,25457. Apart from this, tax benefit will be available separately.
Recurring term deposit
Recurring deposit (RD) is a type of term deposit that promotes the regular savings habit of investors. A minimum of Rs 100 can be invested in an RD account every month. Its maximum maturity is 10 years. In this, customers get interest ranging from 3 percent to 9 percent. It is also a financial investment option like a fixed deposit, but there is more flexibility for investment. In FDs where one has to invest lump sum, in RD you can invest in different installments on monthly basis like SIP.
National Savings Certificate
National Savings Certificate (NSC) is a small savings scheme, in which you can invest any amount ranging from Rs 100. Currently, it is getting 6.8 percent interest annually. You can buy it from the post office or any bank. By applying this, under Section 80C of Income Tax, you get a tax benefit of Rs 1.5 lakh annually. If you invest 1000 rupees every month in NSC for five years, then in one year it accumulates Rs 12,000, but after five years the same amount becomes Rs 16,674.