Best Investments in 2021

Investments in 2021

Investment is an essential part when it comes to a good financial plan. Whether it is about a child’s marriage, retirement, or education, investment plays a major role in your personal finance. Everyone wants to grow their money to get a higher financial return back to them without losing any money. But, due to the availability of a variety of options there, it is not easy to opt for the best.

One needs funds, no matter what stage of life it is. And, the ideal option for you will be determined by a number of criteria here. Such as some investments produce a consistent income while others do not. Similarly, some are for pension needs, while others may come with tax benefits and maybe more suited for long-term aims. Here are some of the best investments below to make it easier for you. Let us have a look.

1. Public Provident Fund

Though PPF has a very long tenure of 15 years, the money that you have invested and the interest you will earn are backed by a sovereign guarantee. So it is a safe investment. However, after 5 years, one may exit, take out a loan after the 4th year. And then can make partial withdrawals after the 7th year. The scheme’s goal is to encourage people to save small amounts of money by providing a safe investment. A safe investment with tax benefits.

2. Fixed Deposits

Bank fixed deposits have always been one of the common sources and a safer option of income for all of us. The interest rate is now around 6% per year across most tenures, depending on the bank and tenure. Under the Deposit Insurance and Credit Guarantee Corporation Act, 1961, all bank deposits, such as savings, fixed, current, and recurring deposits, are covered up to a limit of Rs.5 lakh. Further, Hedge fund managers are there to help you out in your investments.

3. Mutual Funds

A mutual fund is a form of financial vehicle that invests in securities such as stocks, bonds, money market instruments, and other assets by pooling money from multiple investors. Professional money managers manage mutual funds, allocating assets and attempting to generate capital gains or income for the fund’s investors. The portfolio of a mutual fund is built and managed to meet the investment objectives indicated in the prospectus. And, by hedge fund performance you can have a tracking record for your investment here.

4. Direct Equity

It is considered to be one of the best investment ideas for a long-term plan. But in comparison to others, it is riskier. Here, the best investing talents create the most earnings. Direct equity is hazardous, but it can also lead to bigger profits. Direct stock can outperform every other asset type in the long run.

5. Initial Public Offering

An initial public offering (IPO) provides a chance to identify winning stocks and invest at a low cost in the shares of future industry leaders who will deliver important earnings through stock appreciation. Because of the low price, it is possible to purchase several shares of the issuer firm for a low price. There are mainly two types of offerings in IPOs. One is Fixed Priced IPOs where the price is fixed by the company in the prior. And another is Book Build IOPs which have an indicative price band, and the final price is determined during the book-building process.

6. Investment in Real Estate

The property, other than the one you are living in, is a good source for your investment. The single most essential element that will influence the value of your property and the rental income it may generate is its location. Real estate investments pay you in two ways. One is capital appreciation and another is rental income. Real estate is extremely illiquid in comparison to other asset classes. The other major risk is obtaining the required regulatory approvals, which have been substantially addressed since the arrival of the real estate regulator.

Things to Consider While Investing

A number of important key factors are there to check before investing your money. They include how much you can risk your money, the time period, your current financial status, how much you can spend, etc. Hedge fund performance is there to keep track of all your investment activities graph so that you are well aware of your investments insights.

If you want to increase your wealth through investments, you have two options out there. lower-risk investments with a small return or higher-risk investments with a higher return. There is usually a trade-off between risk and reward in investing. You can also take a more balanced strategy, putting your money in totally safe assets but yet allowing for long-term development.


We have now seen several investment plans that you should invest your money to be financially well in the future. Furthermore, knowing about all the important points before making any investment, also matters. So keep in mind while investing your money anywhere. If you’re still unsure about things and are not able to decide, you can contact a hedge fund manager for financial advice.