In the wake of the Coronavirus pandemic, the economy has worsened. With the closure of factories, the activities of almost all sectors have come to a standstill. On the other hand, the stock market is creating new records of decline every day. In such a situation, there are some sectors where it is the right time to invest.
It is said that the best time to invest in the stock market is when there is a big fall. Also, the lack of demand in the real estate sector has had a major impact on its prices. Therefore investing in it is also beneficial.
From the stock market to real estate, and other traditional saving methods, let’s talk about 5 ways you can get good returns even in a pandemic.
Gold
Gold is considered a safe option for investment. In a difficult situation, people look at gold. In the last year, the price of gold has seen a jump of 23 percent. If you are looking at gold as an investment option, then you should look at digital investment options so that you do not have to worry about purity, making charges, and security. You have gold mutual funds, gold exchange-traded funds, and sovereign gold bonds. Sovereign gold bonds guarantee income. These include tax-free redemption from the sixth year, which makes it better than the Demat gold option.
FD and RD i.e fixed and recurring deposit
There are good investment options even after the fall in the deposit rate due to the reduction in fixed and recurring deposit rates. Deposits are a safe investment option where interest is usually higher than a savings account. You can open deposits with banks that have a good track record and low NPA. Also, note that FD gets more returns for senior citizens.
Small savings schemes
You can invest in small savings schemes like Public Provident Fund, National Savings Certificate, Senior Citizen Savings Scheme, Post Office FD, Sukanya Samriddhi Yojana etc. You get good interest in them. Sovereign guarantee is also available in it, which is more important. You can choose the appropriate investment product according to your financial goals, investment duration and liquidity needs. Apart from this, there is also a benefit of tax deduction.
Large relief to salaried employees; Withdrawing money from EPF is easy, government will contribute to PF
Liquid funds
You can invest some of your funds in liquid mutual funds amid market fluctuations and you will get better returns than the current FD returns. In these, the corpus is invested in deposit certificates, commercial papers etc. for a period of 91 days maturity.
SIP in Equity Mutual Funds
There is a lot of volatility in the equity market and most of the investors are now seeing a decline in the value of NAV in their portfolio. However, if you are an existing investor, your SIP investment will help you to deposit mutual funds units at very low NAV and you will be able to take advantage. If you are thinking of starting a new investment, then it will give you better returns in the long term.
