Safe Investment Options for High Returns in India

This is one of the most popular and safest investment options in India. The reason behind FD’s popularity is that it offers guaranteed returns on its maturity without posing any significant risks. You can choose a tenure ranging from 7 days to 10 years.

This is one of the most popular and safest investment options in India. The reason behind FD’s popularity is that it offers guaranteed returns on its maturity without posing any significant risks. You can choose a tenure ranging from 7 days to 10 years.

NOTE: FDs are affected by inflation.

It is another popular and safe investment option in India. With this investment method, you deposit a fixed amount every month for a certain period of time. You receive the principal amount along with interest on the completion of the period.

The highlighting feature of this type of investment is that you do not need to put in a lump sum amount like FDs. Also, they are unaffected by market fluctuations; thus, RDs are a safe investment.

It is a government-backed investment scheme meant for longer terms. You can invest money across a 15-year lock-in period through a disciplined saving approach. The best part of this scheme is its flexibility in investment. You can start from as low as ₹500 and extend up to ₹1.5 Lakh annually. Also, the returns are non-taxable. In a nutshell, PPF investment is one of the safest investment options in India.

This is one of the most lucrative investment options for retirees who want a stable and regular income. POMIS offers a fixed monthly income after the completion of a 5-year lock-in period. The government revises the interest rates periodically. You can start investing in this option from Rs. 1500 and extend it up to 9 Lakh (for joint accounts).

This government-backed scheme focuses on providing financial stability to people aged 60 or above. The maximum limit is 30 Lakh across 5 years the lock-in period. You can further extend it up to 3 more years. SCSS offers quarterly interest payments, which are often a beneficial plan for retirees. In addition to this, you can get tax deduction benefits under Section 80C.

It focuses on enhancing the financial status of female children. Parents can open an account for their female child before she turns 10 years old. The minimum deposit with the Sukanya Samriddhi Yojana

It is important to note here that the maturity of this scheme happens after 21 years, but partial withdrawals are available as the girl turns 18.

Issued by the Reserve Bank of India (RBI), these bonds are considered a safe investment option offering fixed returns. The current floating interest rate is reset every six months according to RBI mandates. RBI bonds have a tenure of 7 years, and you cannot withdraw prematurely except in specific cases, like senior citizens.

Also, it is important to know that they do not provide tax benefits, but you get stable and risk-free returns. The minimum investment amount is ₹1000, and any sum in multiples of 1000 can be invested. One noteworthy feature of the scheme is that it has no upper limit, making it suitable for those who want to park large sums securely. The Bonds are issued as Bond Ledger Account (BLA)- only in electronic form.

These are long-term debt instruments issued by the Indian government. They come with sovereign guarantees; therefore, they are one of the most popular choices of safe investments. G-Secs are particularly beneficial for long-term capital preservation with moderate returns.

G-Secs are available in different tenures, ranging from 5 years to 40 years, and you get periodic interest payouts. You can buy them through the RBI’s Retail Direct platform.

ULIPs are a combination of insurance and investment. They offer life cover along with market-linked returns. These returns vary based on the fund's performance. A Part of the plan premium goes towards the insurance coverage, and the remaining is invested in equity/debt funds based on the investor’s preferences.

ULIPs have a minimum lock-in period of 5 years, promoting disciplined savings. They offer tax benefits under Section 80C and Section 10(10D) of the Income Tax, making them a tax-efficient option. While returns depend on market performance, the flexibility of ULIPs in fund-switching allows investors to balance risk and returns over time to optimise returns.

To ensure a substantial accumulation of wealth, you can invest in fixed-income securities, such as corporate bonds, treasury bills, and government securities. It is generally considered a safe investment with high returns in India. You can choose from different types, including liquid funds, short-term funds, and gilt funds.

It can be a fantastic option to accumulate substantial funds for the future. The Kisan Vikas Patra (KVP) is a savings certificate scheme where your invested money gets doubled on maturity. The scheme was first introduced in 1988 by the Indian Government, and the maturity period was five and a half years. Further, it was relaunched in 2014 by the Department of Economic Affairs.

To invest in KVP, you need to be an adult, or an adult can buy it for you (or in your name). The amount you invest gets doubled after 115 months at the present rate. However, the maturity period is subject to revision.

This scheme is a one-time scheme and was launched by the Department of Economic Affairs (DEA) with the objective of strengthening the financial stability of women in India. A woman can open an account before March 31, 2025, for a tenure of two years and earn attractive interest rates of 7.5%, subject to government revisions.

The minimum deposit required is ₹1000, and any sum in multiples of 100 may be deposited within the maximum limit of ₹2,00,000. Also, it can be done only in the name of a female.

Treasury bills or T-bills are short-term debt instruments that are issued by the Government of India. These are issued in three tenures: 91 days, 182 days, and 364 days.

These are zero-coupon securities and pay no interest. Instead, they are issued at a discounted rate and redeemed at the face value of ₹100. It is a low-risk investment option and a preferred choice of risk-averse people in India.

This is one of the most important factors. Risk capacity is different for every investor. Therefore, one plan cannot be ideal for everyone. Conservative investors prefer low-risk options like Fixed Deposits, PPF, and SCSS, while those comfortable with moderate risks may opt for Debt Mutual Funds or ULIPs. So, evaluate your risk tolerance as per other financial obligations and make decisions accordingly.

Depending on how long you want to stay invested in a plan. For a short-term investment, Fixed Deposits, POMIS, and Debt Mutual Funds can be a good choice.

If you want to stay a little longer in the market, NSC, SCSS, and RBI Bonds can give you better returns. For long-term investments, PPF, SSY, ULIPs, and G-Secs can be ideal choices.