Sketching a picture of high returns with short term investments

With growing inflation costs, advanced lifestyle patterns, competitive environment it has become important that you have a collective sum for your short and long terms needs. While investment for long-term needs can be experimented to produce the desired result, short term needs investment has to be precise and to the point so that you get the right form of money during short span of time in your hands. Therefore, we would have to choose the best investment plan for short-term goals possible. These investments will let you meet your pressing expenses in near future.

The article guides you through some of the best investment plans to meet your short term goals in near future.

Savings Account – Investing in savings account is one of the safest options as it is less risky and has high liquidity ratio. You can invest a minimum amount depending upon the bank criterion as it usually differs from bank to bank.

Gold - Investing in gold is also one smart option as the price of the gold increases day-by-day and sheen over the yellow metal never fades. Thus, bought at lower cost it will definitely help you earn some good returns in high performing markets.

Fixed Maturity Plans – These would be close ended funds and the advantage of this fund is only dividend distribution tax is applicable on it.

Fixed Deposits – Fixed deposits is one of the short term best investment plan which has different tenures and is offered by both public sector and private sector banks. It is unbeatable in terms of liquidity and security.

 

Certificate of Deposits (CoDs) - These plans offer good returns but only after the duration of the CoDs maturity period comes to an end. It is one good saving option for investment.        

Treasury Securities – Treasury securities have high liquidity and offers decent returns as a short term investment option.

Debt Instruments – Investing in debt instrument provides good returns and are secured in terms of returns in short span of time. These are good for the risk taking investors and the options available in this avenue are plenty.

Key Points to remember while choosing your Investment Insurance :

•As an investor you should approach for short term plans only if you’re comfortable with risks involved in it. Because short terms would be producing result in short frame of time and you need to have patience and skills to draw requisite returns.

•It is advisable you know your income source well, your risk taking capability and then invest accordingly. Even if you are investing for a shorter tenure; this basic principle of investing should not be ignored else you might end up with big financial crisis especially when in need of money in near future.

•Diversifying your portfolio helps in offsetting the inherent risk of any single option.

•Before you take a decision on these investments, have clarifications regarding the terms and conditions of the instrument.

•Always decide on the priorities such as capital preservation, liquidity or clocking growth as per your needs. This way it will guide you towards the appropriate investment avenue.

Although short term investment gives limited time frame to produce results of your choice, it is still an art to draw the beautiful picture of safe investment in short time frame for your happily living.