Sunday, July 19, 2015

Common Investment Areas in India

Investment plays a vital role in adjusting all other financial needs of life. In India, there are several prominent fields to make investments depending upon the volume of income and choice of investment of the individuals. Let us explain them one by one.

1. Self Motivated investments
Well, out of all the possible ways of investment, this is the most trusted for an individual who is reluctant in risk-taking. There are self-invented means of investing money like

  • Letting a flat, building or market complex for rent
  • A dairy production unit 
  • Earn interest by lending money etc. etc.

These ways are unique in its aspects and raise extraordinary incomes. Here all the profits are gained by the hard labor and managing all the dilemmas and risks by the person's own involvement and responsibility.

2. Fixed deposits
Secondly, if you want to be completely hassle free in earning through investments, one of the simplest ways is a Fixed deposit which allows a person to keep a gross amount of money for a particular period and earn interest on it. The interests can be withdrawn on both recurring basis and maturity basis. Hence, it is a very useful for persons who are not aware of the other means of proper investments.
Fixed deposits are less risky and the customers get a fixed rate of return despite the negative situation of market.

3. Equity share trading
Thirdly, there is another dynamic branch for investment of money. This is equity share trading. Yes, if you want to invest your money in the capital of the reputed companies of the current market and be its shareholder, then your money is worth of whopping returns. The companies register for the scope of equity investments from public through the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) of India. The people in general usually invest money in equity sector through a third person or broker companies like the Share khan LTD, Religare, SBI Online or Indiainfoonline etc. These third parties charge their brokerage charges for conducting the buying and selling activities of shares on behalf of the customer. When the share market is on a lower trend, people buy their stocks in cheap prices and wait for their target price in the growing trend and sell in a higher price to make profits.

4. Gold trading
Number four is gold trading through Multi Commodity Exchange (MCX) and the National Commodity and Derivatives Exchange Limited (NCDEX) of India. Gold prices generally fluctuate due to the periodical marriages according to Indian traditions. People buy jewelleries during their need and smaller scale of people buy and trade for profession. But the amount of income in this field is extremely high comparing to overall income of other means. Gold traders buy their commodities during its lower price and sell in gross at the time of grown trend. That's why this is considered as the hardest business in practical as it involves very pin pointed care and management of the commodities in every reasonable way.

5. Forex trading
Another powerful means for earning huge income now-a-days is forex trading. We all know that due to certain factors like inflation, the world currency rates fluctuate everyday, thereby opening a door for its business. Forex traders buy currencies at lower rate and sell at higher rate. Thus income returns are up to the target mark.

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