Investing your money? Four avenues to multiply your corpus

As growth-oriented investments, mutual funds are always subject to market risks, which may directly impact your investment amount.

Most people get rich by making sound investments that yield substantial returns. Here are some investment avenues that you can opt for, if you want to multiply your finances.

Fixed deposits
For investors seeking stability of returns and safe earnings – without being affected by market fluctuations, fixed deposits are the most preferred investment option. When investing in fixed deposits, you invest a lump sum amount for a specified time period. Over this time, the interest accumulates, and you can either choose to gain your interest at maturity or go for periodic pay-outs instead.
While both banks and companies offer fixed deposits, you may get higher interest rates when investing in company FDs, which offer higher returns. However, it is important to invest in a company with high safety ratings, as there may be risks involving loss of capital or delays.

Recurring deposit

A recurring deposit scheme is similar to that of a fixed deposit, with a few key differences. A recurring deposit mandates investment of a specific amount every month, as opposed to an initial lump sum amount. Again, recurring deposits provide comparatively lower returns, as compared to fixed deposits. This is because unlike the case of a fixed deposit where the interest is accrued on the entire amount over time, recurring deposits have interest calculated for each subsequent instalment. Ultimately, the level of income generated would be lower than that of a fixed deposit.

Mutual funds

As growth-oriented investments, mutual funds are always subject to market risks, which may directly impact your investment amount. While it’s possible for you to attain decent returns on your investment, the chances of your investment going down due to unfavourable financial conditions are always there.

A systematic investment plan (SIP) is a form of mutual funds, albeit with monthly investments as opposed to a lump sum amount. SIPs share the same drawbacks as recurring deposits and mutual funds – along with being unstable in terms of returns, the overall income will also be lower, as compared to if you choose to go for the usual system of mutual funds.


Companies that go public enable people to invest in their shares to obtain a profit. On paper, this might seem like a good deal, but company stocks have a higher level of risk. Your investment can take a turn for the worse if you are unable to analyse the stock market properly.
Every individual wants to select a viable investment avenue that will help them make the most of their current income or savings. These four sources of investment will help you expedite your decision-making process and figure out the best course of action that can be taken to maximise your return on investment.


Regulator to Invest 2% of Private Pension Corpus in AIF Schemes

Regulator to Invest 2% of Private Pension Corpus in AIF SchemesNew Delhi: The Pension Fund Regulatory and Development Authority (PFRDA) will invest up to 2 per cent of the corpus of the private sector pension plans into alternative investment fund schemes in order to bolster the returns to subscribers.

“We are constantly looking at various ways of investment so that we can bolster the return we offer to our subscribers,” Hemant G Contractor, Chairman of pension fund regulatory body PFRDA, said on Wednesday.

“And after a great deal of deliberations internally and after approval by board… we will be able to invest up to 2 per cent of the corpus of the private sector pension plans in alternative investment fund. So after board approval, we are rolling it out,” Mr Contractor told reporters here.

He said the investment will be made only in Category-1 and Category-2 funds regulated by the Securities and Exchange Board of India (Sebi).

Asked about the timing of the investment into equity market in the present scenario, Mr Contractor said the initial cap has been put at only up to 2 per cent.

“These are highly regulated instruments and also the due diligence terms are very strict. So their money will be put into only these two types of schemes. So we have already taken due precaution”, he said.

The investment of private pension corpus into these kinds of funds is taken after considerations of a committee headed by former Sebi chief G N Bajpai.

Among others, PFRDA is also in the process of drafting regulations to appoint retirement advisers.

“For appointment of retirement advisers, we have got suggestions on the scope and coverage of pension schemes, remuneration etc. We will incorporate the suggestions suitable to us and we hope to get it finalised in about two months,” he added.