Every one of us has short-term financial goals. It can extend from purchasing a new asset to starting a new business. Financial goals are attainable.

Top Investment Plans for apt Returns in 5 Years

• Direct Equity - If you are well versed in the financial market, investing in direct equity can be a great investment to get an apt return. You can diversify the portfolio by understanding the different industries and their working model to evaluate their strategies to overcome financial and economic disturbances and make the right choices.
  
  
• Mutual Funds - Mutual funds help a pool of investors with a common financial objective to invest in financial instruments for increased returns. It is managed by a professional from an Asset Management Company and hence is considered a safe investment vehicle. You can invest in stocks, bonds, or other money market-based mutual funds.
  
  Mutual funds can be categorised based on the sectors or the market capitalisation. Various types of mutual funds can earn a  return in five years, such as multi-cap, balanced advantage, mid-cap, short-duration, gilt, etc. Find your financial objective and analyse your affordability. Then, evaluate the fund performance, expense ratio, and entry and exit loads to determine the best mutual fund option to yield the desired returns.
  
  For example, you can invest in equity mutual funds. Equity mutual fund schemes invest 65% of the investment in equity funds. Therefore, it can yield a  return during a five-year term.
  
  

• ELSS(Equity Linked Savings Schemes)- ELSS is a Systematic Investment Plan that helps you invest in a mutual fund comfortably and regularly, such as every month during the entire policy term. It becomes affordable and earns a  return on investment during a five year policy term, provided you make the right choice.
  
  The fund must be diversified across various sectors to withstand market and economic fluctuations. The investments made in ELSS will also qualify for a tax* deduction u/s 80C of the Income Tax Act, 1961.
  
  

• ULIP Plan - Unit Linked Insurance Plan(ULIP) is a comprehensive life insurance plan that offers dual benefits. One portion of the premium provides the life cover, and the other helps you invest in financial securities for market-linked returns at maturity. It has a five-year lock-in period. And, savings made in life insurance plans and the payout benefits qualify for a tax* deduction and exemption benefit under Section 80C and Section 10(10D) of the Income Tax Act, 1961.
  
  Life insurance providers offer various fund options based on risk factors. Therefore, when you invest in the ULIP plan, you can decide on the type of investment, such as equity, debt or hybrid, based on your risk appetite. Also, ULIP insurance allows you to switch fund options to secure your investment during an economic downturn. For example, you can invest in equity funds for  returns, switch to a safe option, and revert at any time during the policy term
  
  Our Tata AIA Life Insurance Policies provide eleven fund options for different categories of investors. You can use expert fund managers' aid to choose the right fund option and make the necessary switches timely for better returns.
  
  
• Guaranteed^# Return  Plans - If you are looking for a monthly income investment plan that can provide a return in 5 years, the guaranteed^# return insurance plan is an appropriate option. It can provide a life cover and a guaranteed^# return as the maturity benefit.
  
  As the returns are guaranteed^#, you can decide on the extent of funds required and the policy term to accomplish your money goals. Insurers provide the option to receive the payout as a regular income, lump sum or a combination of the two options.
  
  

• Real Estate - Real estate is one of the profitable investment options in India to get  returns in 5 years. Real estate investments can yield returns as rental income or capital appreciation. The location of the real estate property is the most important factor determining the value and the rental income it can provide.
  
  
• Gold - There are different ways to possess gold apart from purchasing it as jewellery, such as gold coins, paper gold, etc. It is another valuable return investment option that can earn  returns in 5 years. You can also purchase the Exchange Traded Funds or the Sovereign Gold Bonds and trade them over the exchange for better returns. While it requires some knowledge to buy and sell these stocks with gold as the underlying asset, it can increase in value in the long term if you get it right.
  
  

L&C/Advt/2022/Sep/2245