It’s the time of the year when people lock in their funds for investments across several tools to save tax under section 80c. Sachin Karpe will give some tips that people can use to make investment for the next financial year. The investment ideas can be both for long term as well as short term.
- PPF or Public Provident Fund: It is one of the most sought after investment tool for a common man. Its rate of interest of 8.7% makes it very lucrative. Sachin Karpe’s favourite pick.
- FD or Fixed Deposits: Yet another product offered by banks that gives you return rate of interest for a depending on the period you choose. To be eligible to save tax, you will need to fix a certain amount for more that 60 months or 5 years.
- LESS or Equity Linked Saving Schemes: Equity Linked Saving Schemes is a tool that invests your money in equities, with a lock in of 3 years. You get a tax rebate plus a good return if the market has been performing very well.
- Property: If you do not wish to invest for tax saving but want your money to grow anyway, property or a real estate could be the right choice for you, opines Sachin Karpe. It gives an annual rate of interest which is much higher than inflation rate. Over all very lucrative.
- ULIP or Unit Linked Insurance Plan: It combines a safety of life insurance and a wealth creation. A part of your investment goes towards offering you a life cover and another is invested in equities based on what goals you set.