It’s good that you are enthusiastic about investments. Investments need to be accompanied by goals, horizon and risk appetite. As you are approaching retirement, I presume that you have a moderate risk appetite. Therefore, aiming at capital appreciation at a stable pace is advisable. With this in mind, I would advise you following avenues:
Senior Citizen Saving Scheme (SCSS) :
You may think of investing in Senior Citizen Saving Scheme (SCSS) which offers capital protection, regular income and tax benefits. You can invest up to Rs 15 lakh in SCSS by opening an account at a post office or scheduled commercial bank for five years. Afterwards, you may extend it for another three years. Quarterly interest will be paid at 8.4 per cent per annum. This is a tax-efficient scheme as you will be eligible to claim a deduction of up to Rs 1,50,000 under Section 80C of Income Tax Act 1961.
Monthly Income Plans (MIPs) :
Monthly Income Plans (MIP) are debt mutual funds which invest in fixed interest yielding securities. These funds deploy 60-70 per cent of your investment in debt securities and money market instruments. The rest is employed in equities. These funds aim at generating regular income via dividends and investing in high investment grade securities. After a holding period of three years, the capital gains become eligible for indexation benefit and are taxable at 20 per cent excluding cess.
Equity-oriented balanced funds :
These funds invest 65 per cent of your investments in equities and balance in debt securities. The equity component helps to earn higher returns while debt component keeps risk profile of portfolio intact. After a holding period of one year, your capital gains become tax free.
For More Information:
*Fill The Form Our CERTIFIED FINANCIAL PLANNER Will Call You Freely*
Give Us a Missed Call On 022 – 62116588
(Or) Download Our MoneyMindz -Expert Seller APP
(Or) Visit: https://www.moneymindz.com/
(Or) Download Our MoneyMindz-Financial Freedom APP