Term Financial Options Available For Investments Essay
• Government Securities
• Derivative product
• Units of Mutual Funds etc., square measurea number of the securities investors within thestock marketwill invest in.
Long-term financial options available for investment
Long-term financial options available for investments are Post Office Savings Schemes, Public Provident Fund, Company Fixed Deposits, Bonds and Debentures, Mutual Funds etc.
Post Office Savings:
Submit workplace month-to-month earnings Scheme is a low risk saving instrument, which can be availed via any submit office. It affords an interest charge of 8% according to annum that is paid monthly. Minimal amount, which may be invested, is Rs. 1,000/- and additional investment in multiples of 1,000/-. Maximum amount is Rs. 3,00,000/- (if unmarried) or Rs. 6,00,000/- (if held collectively) in the course of a yr. It has a adulthood duration of 6 years. An advantage of 10% is paid on the time of adulthood. Premature withdrawal is allowed if deposit is more than one year antique. A deduction of 5% is levied from the important quantity if withdrawn prematurely, the 10% bonus is also denied.
Public Provident Fund:
A long term savings instrument with a maturity of 15 years and interest payable at 8% in step with annum compounded yearly. A PPF account may be opened via a nationalized financial institution at any time all through the year and is open in the course of the 12 months for depositing cash.…