The best approach for you would be to invest in equity-themed mutual funds. Since your investment view is for a period spanning 10years you can create a SIP(Systematic Investment Plan) for the same due to cost averaging and considering past performances. These mutual funds are known to give average annualized returns of upto 15% for long terms.
visit mf.zerodha.com to invest in 3 simple steps online.
You can invest in Nifty Index stocks as Nifty 50 is benchmark index of Indian stock market, it is barometer of economy. Nifty 50 is comprising of 50 large cap stock which is said to be blue chip stocks.
Equities are the preferred investment vehicle for people who want better returns at some risk. However, the best returns come when the investment horizon is long.Â
 Here are the Five Examples of Stocks with Best performancesÂ
1) Bajaj Auto is the second largest two-wheeler manufacturer in India with a domestic market share of 28 per cent.Â
2) ICICI Bank is the largest private sector bank in India in terms of asset size, with a balance sheet of Rs 4.7 lakh crore as of March 2012. It holds near market leadership in almost all its businesses. The bank earns substantial fee income from transaction and retail banking activities.
3) TCS is India's largest and one of its oldest IT companies. It has a large diversified client base (1003 active clients), TCS’ employee force stands at 238,583 (including subsidiaries) and its revenues for the last twelve months (TTM) stood at Rs 48,900 crore ($10.1 billion).
4) Yes Bank is a private Indian bank with financial support from Rabobank Nederland, and global institutional private equity investors –AIF Capital, and ChrysCapital. It has balance sheet of Rs 78,200 crore and a CASA ratio of 16.3 per cent. Corporate lending forms 60 per cent of its book, commercial 20 per cent and retail 16 per cent.
5) Coromandel is owned by the Murugappa Chettiar Group. The company manufactures and markets fertilisers and pesticides. It is the second largest phosphatic fertiliser player in India (after IFFCO).
Also if you can invest in right stocks such as Bajaj Finance as Example it will definately makes your investment triple or more..
Conclusion:  So its all about picking the right stocks and Investing. It comes by doing Research on markets.
Happy Investing :)
To diversify your investment portfolio, try to distribute your risk in various stocks, mutual funds, bonds & debentures and other different instruments. It is advised that, you should not invest more than 10% in any of your investment plan of your portfolio. In this way, you will remain protected if any of the particular sectors collapses.
Over the long term, the stock market produces an average annual return of about 12-15%. An amount invested in a diversified folio will become approximately 3-4 times in 10 years with the above mentioned rate of return.Â
Real Estate Investment and Gold ETF will be another option to invest in.
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Triple your Investments!!!
Don’t get too excited, I am not talking about some Ponzi Schemes to double your money overnight. I am talking about genuine schemes that are legal as well as are running from past few decades. But let me tell you first, there is no sure shot way of doubling money quickly. It requires immense knowledge of capital market like Rakesh JhunJhunwala or patience for long term. Here I am going to elaborate long-term money doubling schemes. Before we proceed you should first learn about the Thumb Rule 72.
What is Thumb Rule 72?
Rule 72 or Thumb Rule of 72 gives you estimation of two things:
The time period to double your money at given rate of return.
The rate of return at which your money will be double at given time-period.
Suppose you wish to invest in Bank Fixed Deposit at interest rate of 8% p.a. than according to Rule 72 your invested money will be doubled in 72/8 = 9 years. This means if you invest Rs.1 lakh in Bank Fixed today than you will get Rs.2 lakhs if you stay invested for 9 years.
Similar, if you wish to double your money say in 5 years than you will have to invest money at the rate of 72/5 = 14.40% p.a. to achieve your target. This means if you have Rs.1 lakh and you would need Rs.2 lakhs in 5 years than you will have to invest it in the financial products which gives you return at 14.40% per annum to achieve your target.
Though Rule 72 gives you rough estimates but it becomes very handy at the time when you have no access to calculator or do not know much about compounding or discounting. time when you have no access to calculator or do not know much about compounding or discounting.
10 Best Money Doubling Schemes in India
Tax-Free Bonds
Tax-Free Bonds are not issued every year. But fortunately this year Government has granted permission to seven state run entities to issue tax-free bonds amount to Rs.40,000 crore. We have already witnessed high demand of tax-free bonds issued by PFC and NTPC and there are plenty more in the pipeline.
Coupon Rate offered by tax-free bonds for 2015 series is around 8.20% to 8.50% per annum (Tax-Adjusted Return) depending on the tenure. So if you invest in one of these tax-free bonds you can double your money in approx. 8 to 9 years.
Corporate Deposits/Non-Convertible Debentures (NCD)
In the current scenario of rate cuts by RBI, many investors are looking for better investment avenues and whose risk appetite is bigger invests in Corporate Deposits. Since Corporates and NBFCs do not enjoy RBI backing like banks, the interest rates offered by them are quite high as compared to bank fixed deposits. Point to note is that NCDs are issued both by Companies including NBFCs while corporate deposits are only issued by Companies.
NCDs and Corporate Deposits give rate of return of around 9% to 10% per annum depending on the tenure and their CRISIL or ICRA ratings. Thus investing in these would get your money doubled in approx. 8 years.
National Savings Certificates
National Savings Certificates are issued by Postal Department of India and are considered one of the safest investment avenues. NSCs come with a fixed interest rate and fixed tenure i.e. for 5 years and 10 years. No TDS would be deducted on the maturity amount and also you would get tax-deduction up to Rs.1.50 lakhs u/s 80C. In addition, NSCs could be used as a collateral security to get loan from banks.
The interest rates offered by 5 years NSCs is 8.50% p.a. while 8.80% p.a. for 10 years NSC. Since both rate of return and time period is fixed under NSCs there is no need to use rule 72 and the returns would be Rs.1,516.2 for Rs.1,000 invested in 5 years NSC and Rs.2,366 for Rs.1,000 invested in 10 years NSC.
Kisan Vikas Patra (KVP)
Kisan Vikas Patra was abolished in 2012 but reintroduced in the current financial year. The reason for discontinuance of KVP was no check on the source of income for buying KVP. People used to buy KVP in cash (black money) and after the maturity the black money turns into white money. There was no requirement of the PAN and anyone with cash could buy KVP from Post-Office. Thus KVP was mainly used to turn black money into white.
This loophole has been done away with while reintroducing KVP, now every investor buying KVP in cash of Rs.50,000 or more has to mandatorily furnish his/her PAN number. Currently KVP is offering interest rate of 8.70% p.a. which results in money doubling in 100 months i.e. 8 years and 4 months.
Public Provident Fund (PPF)
Public Provident Fund is the second most popular scheme of Government after Employee Provident Fund Scheme. PPF enables every class of earner i.e. self-employed, salaried or even government employee to save and invest as low as Rs.500 per annum. PPF is one of the safest and most trusted scheme having minimum contribution of Rs.500 per year and a lock-in period of 15 years.
Rate of Return are fixed each year by Government and remain effective for that fiscal year. For the financial year 2015-16, applicable rate of return is 8.75% p.a. which translates into money doubling in 8 years 3 months. Since the lock-in period of PPF is 15 years your money gets multiple folds at the time of maturity.
Bank Fixed Deposits
No matter where market goes or how much RBI cut rate, Bank Fixed Deposit always remains the first choice of every Indian investor. There are many cons and pros of investing in fixed deposit. Such as fixed deposit up to Rs.1 lakh is insured by RBI while the returns after tax may not beat inflation. But still for short term period bank fixed deposits are preferred over other investment options.
After the recent rate cut of 50 bps (0.50%) by RBI, almost all banks have reduced the interest rate on FD either by 0.25% or 0.50% p.a. Currently FD interest rates varies between 8% to 9% p.a. So to double money by investing in bank fixed deposit would take 8 years to 9 years.
Mutual Funds
Investor who is willing to take little risk may choose mutual funds to earn better returns. There are varied types of mutual funds namely equity oriented, debt oriented, ELSS, Balanced or Hybrid Mutual Funds etc. Each type of fund has its own pros and cons and may not be suitable for every investor. Such as if you are investing for your child education and have enough time of 15 to 18 years than you can go with equity oriented funds but if you are looking for short term financial goal like accumulating money for down payment of your dream house than you should go with debt oriented fund. Likewise if you are a new investor and want to dip your fingers into stock market than it would be wise to start with balanced funds as it would give you experience of both debt and equity instruments.
Returns of mutual funds varied from fund to fund and the tenure you choose to invest. But if we go by the normal perception, in long term mutual funds tends to give return of 12% to 15% p.a. Thus you can double your money by choosing mutual fund route in approx. 5 years to 6 years.
Stock Market
“High Risk High Reward”, those who believe on this statement is definitely indulged in stock market. There is no certainty of return in stock market. You can earn as much as multifold returns in a years’ time or can run out of money in months’ time. Investing or trading in stock market needs both technical as well as fundamental knowledge.
Gold/Gold ETFs
Love for the Gold is irresistible for Indian. Not only women are attracted towards its glitter but men also inclined towards it. In India, Gold is not only considered as an investment avenue but it is also given as a gift at the time of wedding. Gold is symbol of wealth and we Indian tend to collect it throughout our life.
Though the returns of gold are highly volatile but still it manages to give CAGR of 22% over past 5 years. This translates the doubling of invested money in 3 years to 4 years.
Real Estate
Real Estate investment is not everyone’s cup of tea. It requires huge capital to invest to generate a considerable return. Since tracking average return of real estate is not possible I have considered example of Gurgaon which has become the hub of industries from a small village. If you have invested in Rs.2 lakh in Gurgaon in 1980, it would have resulted in Rs.2 crore now i.e. CAGR of 15% over 34 years. Though investment in real estate looks too alluring but it requires pretty long time period for a hefty returns.
Taking a return of 15% p.a. we can calculate that money gets doubled in just 5 years but it may not be correct because the returns are totally depend on demand and supply. Place like Bangalore has become the hub while on the other side Mysore and other cities close to Mumbai has nowhere near.
The Bottom Line
Invest 75 % of the capital into Fixed Income schemes via FD's , PPF's , POMIS , KVP's , NSC which are guaranteed to double your investment in 10 years and 25 % of the capital into stock markets via mutual funds,Gold ETF's, picking a combination of Large cap, Mid cap and Small cap stocks where "High Risk High Reward​" is in action which can triple your investments.
Happy Investing....;-)
Credit - simple interest.in
Today’s situation is difficult enough to forecast something without risks and choose great investment opportunities. You should remember the rule: “Your investments should be in the field you’re interested in and you have knowledge about the sector and subject of your investment”. As for me, I should try to buy undervalued assets or assets that reach low and waiting for several years .
Actually, the best way of investing today is commodities, because, it seems to me, the assets for them is undervalued. For example, if we say about Indian companies, Coal India and Oil&Natural Gas Corporation are good companies to invest in. The analysis is not unambiguous and draw down only from one month and longer. Actually, analysts confirm that commodities assets (oil, gas etc) will jump, of course, with a lag.
By the way, because of wide-spreading information, technologies and companies, which deal with providing information are raising sharply. That’s why I consider that investing in Infosys we’ll be good.
Of course, we should remember that Indian pharma is jump last 10 years and it’s the right way to invest in Indian companies’ shares. One of the most successful companies in pharma is Sunpharma.
Moreover you should pay the attention at dividend stocks. Dividend growth investing has grown in popularity. It almost seems magical.
Last & Important ,
Buy a piece of land near your town, fence it or build it and pay it off if on a loan in 10-15 years for best return. Bank FDRs are good but you don’t get past 8%. You could do PPF but again limited to 9.25% and retirement age condition applies.
It all depends on your risk appetite - if you can tolerate capital erosion - go buy some blue chip mutual funds or bank stocks.
If you are risk averse - invest in FDs every month till you retire.
If you want big capital appreciation, buy a piece of land which is approved residential and close to amenities - look after it… It will grow to give you 10-15% annualised return over 15 years… Trick is picking the right location.
Hope my answer will be useful for you! Good luck in investing!
The best option for investment with less risk (about 25% risk) for long term (for about 10 years) to triple the investment is to put 30% in equity or equity linked mutual funds (as per client’s preference he can select investment option SIPs) and the balance 70% he can diversify in Fixed Deposit, Bonds and Dedt funds. The interest got from Fixed Deposits to be reinvested.
Though there are many investment options in India for Long term Investments. I would suggest you to invest in Equities. As India is seen as the one of the fastest growing economies - equities in long term will give multifold returns. If you want to create your own portfolio best idea would be to diversify your portfolio, for example you can invest 75 % in Equities and around 25 % in other Fixed Income or Debt Securities. Another option you can invest in Mutual Funds Like Balanced Funds or You can go with Index funds.
If we look at Indian equities market 10 years back nifty was around 3000 , now its trading above 8700, which is almost 3 times the Investment.
Source : Money Control
One more major advantage of Equity investment is Compounding interest effect. Returns generated can be reinvested which would multifold your returns.
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The best investment i can suggest or which i suggest to all is to buy these things.
Assuming you start with 5000 per month.
1 Nifty bee,1 Bank bee and 1 gold bee or (sovereign gold bond 1 gram which also yields 2.75% of interest apart from appreciation in gold bond value).
Note: Gold bees or (gold bond) acts as hedging instruments for Nifty and bank bees and vice versa.
So once you start investing as and when your income starts appreciating you should also increase you investment proportionality,Let’s assume your monthly income now is 20,000 so it will go up to 30,000 some day as and when you get promotions or hikes if your a salaried employee or if are self employed you grow your business and your income eventually increases so then your investment should go to 7500/month.
And apart from this you can apply to some IPO’s with some research max 3 to 4 good IPO’s come up in an year and investment would not be more then 15000 and if your not comfortable holding them you can book profits for shares worth your investment and keep the rest which is actually the profit you made through apply for that IPO.
According to Rakesh jhunjhunwala he assumes Nifty to be at 1,30,000 by 2030 so you can assume how much return you can get out of it.
Gold from time in memorial has given like infinite amount of returns and as it is a natural resource it will never lose its value in long run.
1. If I had Rs. 1,000 to invest, I would put it in an index fund. Indexing allows for diversity, and the chance to take advantage of the performance of an entire segment of the market rather than worrying about whether or not you’ve picked the “right” investment.
2. By investing Rs.1,00,000 in HDFC Top 200 fund now, your investment will be worth nearly Rs 11,50,000 now. That is staggering 1100% return over 10 years.
3. ELSS funds have generated good returns in last 5 years. they take comparatively lesser risk. It has only 3-year lock-in period which is shorter compared to other 80C investments. ELSS funds have an average 18% p.areturns in last 5 years. Investing at least Rs.2000 per month will give huge returns.
4.Money Market Funds are ideal as short-term investments options. These also called Liquid funds. investment options in IndiaAs the name suggests, liquidity is the primary motto. These offer slightly higher returns than Savings Accounts.2
The returns range from 5.5 to 9% based on the period and risk category. Liquid funds are fairly safe investments as they invest in fixed income securities of governments and corporates.