08/07/2023 | 4 Comments

Each of us has certain life and financial goals that we would like to achieve, such as buying a dream car, a house, or a comfortable lifestyle. However, most of us want to achieve these goals as soon as possible, by maximising our earnings with minimum risk. Sadly, factors like inflation, market volatility, etc. make it difficult for us to have a smooth path towards achieving our financial goals.  Having said that, following a smart investment plan can help in increasing the possibility of significantly maximising your earnings.

Investment plans with the right balance of risk and return play a very important role in your financial planning. You must invest in different investment options in a disciplined manner to earn stable returns. Having a financial plan in place gives you a sense of direction and helps you determine the right long-term investments and short-term investments that you can follow to reach your financial goals.

In this article, we will look at some of the best investment options that you can look at, to achieve your ultimate financial goals.

Best Investment Plans in India in 2023

Here are some of the best investment options that you can invest in this year:

  • Public Provident Fund (PPF)
  • National Savings Certificate (NSC)
  • Post Office Monthly Income Scheme
  • National Pension Scheme (NPS)
  • Mutual Funds
  • Peer-to-Peer Lending

Let us take a look at each of these investment plans in detail:

Public Provident Fund (PPF)

The Public Provident Fund is a government-backed fixed-income investment scheme that allows you to make substantial savings and earn guaranteed returns. The PPF offers a fixed rate of interest and the returns generated are not taxable. This risk-free investment plan is available at almost all banks and post offices in India.

National Savings Certificate (NSC)

The National Savings Certificate is another fixed-income post office savings investment scheme backed by the Government of India. The NSC investment scheme has a 5-year lock-in and offers returns at a fixed rate of interest. However, the entire amount will be paid to you only at maturity.

Post Office Monthly Income Scheme

The Post Office Monthly Income Scheme is another safe savings scheme regulated by the India Post Department. This investment plan helps you save money each month and earn fixed-interest returns per month.

National Pension Scheme (NPS)

The National Pension System (NPS) is a long-term investment scheme that is focused on retirement planning. The NPS fund invests in different assets like government bonds, corporate bonds, and equities. The unique aspect of the NPS scheme is that here you have the liberty to decide how much of your money should be invested in different asset classes as per your risk appetite.

Mutual Funds

An effective way to invest in a disciplined manner is to invest in mutual funds. These funds invest in market-linked instruments like equity, debt, money market instruments, etc. However, mutual fund investments are not completely risk-free as the returns generated here are exposed to market volatility.

Peer-to-Peer (P2P) Lending

Peer-to-peer lending is a type of debt financing where individual investors/lenders are connected with borrowers through online platforms like 13Karat. Here, you can invest in P2P loans and lend money directly to other individuals, cutting out conventional financial institutions as intermediaries. In India, to ensure transparency, investor protection and fair practices, P2P lending is regulated by the Reserve Bank of India.

Investing in P2P loans can offer the potential to earn higher returns as compared to savings bank accounts or fixed deposits. At 13Karat, you can invest in our thoughtfully curated products and earn returns of up to 13% per annum.

Learn more about P2P lending