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Investment Options for Women in India

Investment Options for Women in India, is one of the most required details, for every Indian woman who is investigating or wants to start investing.

Every woman, earning or not, working or not, should for sure invest her savings, with the best options. 

Investment options for Indian women, will help a woman, securing a future without being dependent on anyone.

Currently, there are only 33% women of the investors in India, who invest and make their investment decisions. 

When it comes to investments, the person/woman who is investigating, should be the one to decide about her investments. 

There are hundreds of investment opportunities available, risky and non-risky both.

Top Investment Options for Women in India

The best of those investment opportunities for all and especially, the investment opportunities for Indian women are mentioned below.

Public Provident Fund (PPF)

In 1968, The Public Provident Fund (PPF) was introduced by the National Savings Institute of the Ministry of Finance.

PPF is known as a savings-cum-tax-saving instrument in India. The investment scheme works with the objective of mobilizing small savings by offering an investment with reasonable returns while providing income tax benefits.

For it’s objective, PPF is known as one of the best investment options for Indian women. 

Nearly 75% of Indian women prefer investing in PPF. 

Women invest in PPF, due to its less risk and tax benefits. PPF investment can range from 500-1,50,000 per person, giving a return of 7.1%.

Employees Provident Fund (EPF)

The Employees Provident Fund (EPF) is a scheme that helps to accumulate retirement benefits. Under EPF, an employee has to pay a certain contribution towards the scheme and the equal amount is contributed by the employer as well. The EPF scheme is managed under the aegis of Employees’ Provident Fund Organization (EPFO).

Not only one of the best investment options for Indian women, EPF is also the best investment option for every employee/person. 

According to the Employees’ Provident Fund Organization rules, employees and employers contribute 12% of the employee’s basic monthly salary to the EPF. A Woman can choose to contribute only 8% of the basic monthly salary for the first three working years.

Kisan Vikas Patra (KVP)

In 1988, Indian post launched the Kisan Vikas Patra is a savings certificate scheme. 

The KVP, is well-known as a stable instrument of savings and investment authorized by the Reserve Bank of India and being offered by the Indian Postal Service under the postal savings system. 

KVP is known as one of the most participated investment options for Indian women for its security and returns. The KVP deposit is known for a doubling of investment upon reaching a maturity period of 100 months.

The investment in KVP can be started with 1000 and gives a return of 6.9%.

National Savings Certificate (NSC)

Investment options for Indian women, the National Savings Certificate (NSC), is one of the most secured Indian Government savings bonds. Firstly, NSC was used for small savings and income tax saving investments in India. It is also a major part of the postal savings system of India Post.

NSC is known as one of the best investment options for Indian women, for low risk and attractive interest rate of 8.5%.

NSC returns can be enjoyed after 5 years of lock period. NSC can be started within the amount range of 1000 with tax benefits of 1,50,000 under section 80C.

Any woman/person can invest in NSC without any kind of age barrier.

Post Office Monthly Income Scheme (POMIS)

The Post Office Monthly Income Scheme, popularly known as POMIS, is one of the best investment schemes of the Indian postal service. POMIS is one of the safest investment options for Indian women, for its promise to the investor guaranteed returns at 6.60% per annum, as a form of the fixed monthly income.

When it comes to Indian women, over 70% of the Indian women invest in POMIS, for its guaranteed returns and safety.

Fixed Deposit (FD)/Bank Fixed Deposit

Bank Fixed Deposit, well-known as Fixed Deposit (FD) is a financial instrument/investment provided by banks or NBFCs. FD accounts provide investors a higher rate of interest than a regular savings account, until the given maturity date. FD is one of the easiest investment options for Indian women, as it can even be started with a normal savings, using net banking and not completing any other extra formalities. 

Every woman, having a savings account, surely invests in fixed deposit, as it gives compulsory return with zero risk 

Mutual Funds With Systematic Investment Plan (SIP)

A Mutual Fund With Systematic Investment Plan, well-known as SIP, is an investment vehicle offered by many mutual funds to investors. SIP allows the investors to invest small amounts periodically instead of lump sum amounts. SIP investment can be started with a smaller amount and then can be increased with the number of SIPs. The frequency of SIP, usually remains weekly, monthly or quarterly.

Mutual funds do work on market risks, but are a good investment option for Indian women/people, as it surely gives long term benefits. Chosen mutual funds SIP, invests in top companies that will surely grow with long term.

Post Office Time Deposit Scheme (TDS)

Post Office Time Deposit Scheme, renowned as the TDS on Post Office Fixed Deposit

Time Deposit Scheme (TDS) is a mechanism through which the payer with any income source (including interest) deducts tax at the time of making the final payment and deposits the same with the government on behalf of the payee.

With the TDS, women can save the tax and can deposit extra balance in her account, with increasing the investment.

The TDS can be claimed, under Section 80C of the Income Tax Act of India, 1961. TDS is also counted on the deposit a person has made in the 5-year fixed deposit account. If the interest a person earns on the FD account exceeds 40,000 INR, for every financial year for regular customers, the tax may be deducted at source by the Post Office.

Real Estate

Same as gold, Real Estate will always grow in the long term, the value will surely increase within 5-10 years. The impact on the cost of properties will be obviously getting high, it will surely get costly and the rentals will also go high. Higher rental income in the future is the biggest advantage for a real estate investor. 

A woman should invest as much as possible in real estate, she can correct knowledge about real estate projects, invest in correct projects and can earn a lifetime from it.

With all these, real estate is one of the best investment options for Indian women.

Gold

Gold is the first love of every woman, and with love it can also be one of the best investment options for Indian women. 

The prices of Gold will always go up, have a rise in the long-term and give good returns to the investors.

It is not necessary to invest in gold physically, in today’s world digital gold is also an option. A person can purchase a proportionate value of gold but not in physical form. The investment can be made in the form of bullions and the companies involved in gold mining. Investing in digital gold, doesn’t require any kind of additional charges levied other than the physical gold itself. Digital Gold (Gold ETFs) only include asset management and brokerage fees.

A woman/person not having enough money to purchase physical gold can invest in digital gold and get good returns.

National Pension Scheme (NPS)/ Retirement Scheme

National Pension System (NPS) is founded by the government of India, for all employees working in private and government owned companies.

National Pension System, well-known as NPS is a voluntary, defined contribution retirement savings scheme designed to enable the subscribers to make optimum decisions regarding their future through systematic savings during their working life. 

NPS is known to seek to inculcate the habit of saving for retirement amongst the citizens. NPS is the best investment option for women/employees working in private companies. In today’s time, many private companies don’t give pensions to their employees.

Insurance

Insurance investments/policies are not known to give interests but are surely known to give stress relief.

A woman/person should definitely invest in insurance, especially life and health insurance for women who are middle-aged and have children.

Life and Health insurance is designed/formed to offer financial safeguards against death and medical conditions of the policyholder and can also be used as an investment plan for life, which helps a person meet several life goals in different turns.

Exchange Traded Funds (ETFs)

An exchange-traded fund is a type of investment fund and exchange-traded product, these are the products traded on stock exchanges

An exchange-traded fund (ETF) is well-known as a basket of securities a person will buy or sell through a brokerage firm on a stock exchange

The ETF is one of the great investment options for Indian women, as a woman can easily invest in the products, which she cannot purchase many times, for being expensive or unavailable physically.

Stocks

Having more options can be a better choice when a woman wants to limit risk to a certain amount. Different stock options can allow the investors to earn a stock-like return while investing less money, so they can be a way to limit the risk within certain bounds.With having knowledge, or taking suggestions, a woman can finalize stock options, with measuring risks and returns according to her requirements.

Investing in Stocks is one of good investment options for Indian women, it is risky but can also give unreasonable returns. A woman should study about stocks, select the stocks and start investing with a lesser amount of investment.

Purchase Equities

Equities are a type of shares issued by a company to represent the ownership in the company. Ownership of companies, are usually in the form of common stocks, that are distinguished from the fixed-income securities such as bonds or mortgages etc.

There are many companies who give their Equities in public. A woman can research about the companies, finalize the best and purchase the Equities of the same. 

The investors with getting returns from Equities also get to be the owner of the company.

Bonds

With Stocks and Equities, Bonds are also a great option for investment. 

A Bond or an investment bond can be defined as a single-premium life insurance policy in which a fixed sum is invested in an asset-backed fund, also be said as a financial organization that invests in property or shares.)

Bonds are a great investment option for Indian women, as it has good returns with zero risks. Bonds can also be said as a type of loan given to a company, that will be returned to the investors with interest and the complete principal amount.

Furthermore, the brief information about investment opportunities for Indian women are mentioned above. With this, if you want to know more about these opportunities, the internet and agents are open to you, you can do the research and decide for the investment you want to go for.

Lavina Santani

Lavina Santani is a professional content writer, who writes about product reviews, company information, job profiles and general topics. Other than this Lavina is also a teacher, is an overseas education counsellor and has also worked as a sales head. Lavina has completed her graduation from Vanita Vishram Women's College of Commerce.

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Lavina Santani