The investment sector has experienced high turbulence in the year, 2018. The investors who survived the volatility of the market would be relieved now as we are at the closure of the year and prepping for the New Year. Investors look for stable investment plans to financially develop with each passing year.
Different experts have different suggestions as to where to invest to gain high returns eliminating the risks of interest rate hikes. The choice of investment varies among different investors based on the personal profile, financial goals, and financial limitations of the investors.
Smart Investment Strategies for Investors this 2019
The right investment demands for a detailed study of investing strategies, effective planning, and sincere dedication. Following are a few smart investment strategies for investors to rightly invest this New Year:
1. Determining Risk Aversion
This is the foremost step to make the right investment choices. If you are planning to invest this New Year, identifying your ability to tolerate the risk associated with investment will help you in managing your funds efficiently without increasing the burden of unpaid debts.
2. Analyze your Preferences
There are market-linked investment plans that are volatile in nature, and there are non-linked investment plans like Fixed Deposits (FDs) that offer guaranteed returns on investment. You need to determine your income and expenditure pattern and accordingly determine your preferences as in to choose from risky investment options and secure investment options.
3. Choose your Investment Strategy Wisely
There are two types of investment strategies, they are:
- Passive Investment Strategy: In this type of investment strategy, you are free to take the back seat in managing your investments. You need not invest your time in extensive research or studying about investment options. All you do is earn from the returns of the market investment.
- Active Investment Strategy: In this type of investment strategy, you need to take the lead in managing your investment plans. You have the option to choose from the overall market investment and maintain your investment as per your preferences and market risks.
4. Monitor your Investments
If you have decided to invest your money in market-linked plans, you need to keep track of your investments regularly. If not, you may be at the risk of losing all or a significant portion of your investment. If you regularly monitor the market fluctuations, you can efficiently manage your funds as well as gain high returns by switching your funding options based on the market risks.
5. Invest in a Fixed Deposit
FD is known to be one of the most secure investment plans for new year 2019. Although you may not get high returns as compared to market-linked plans, you will be assured that the sum you invested will be returned. Major financial providers in India like Bajaj Finance offers assured returns for your investment with whopping FD interest rates of up to 9.10%.
Following are some of the features of using FD from Bajaj Finance:
- Guaranteed high returns
- 0.35% increase in interest rates for senior citizens
- High stability with CRISIL’s FAAA and ICRA’s MAAA rating
- Flexibility in choosing the tenor from 12 months to 60 months
- Quick online application procedure with easy management of investment through individual portals
- Facility to calculate the returns using online FD calculator
Based on the type of the customer category you fall in like an existing customer, new customer, and senior citizen, the interest rates vary. You can calculate the FD interest rates and maturity amount using the easily accessible online FD calculator.
Although you invest in market-linked investment plans, setting aside a portion of your saving for FD can help you in having a financial backup for achieving your financial goals. Also, there is a facility wherein you can ladder your investments in FD with multiple FDs at the same time with different tenors to maintain liquidity from your investments.