
Investment Methods
There are some investment methods to invest.
investment methods
- Bank deposit
- Post office deposit
- Company deposit
- Provident fund deposit
- Commodities
- Real estate
- Bonds or debentures
- Government securities
- Money market instruments
These instruments are very beneficial to earn a extra income.
- Bank Deposit
Bank deposits are very good to eran extra income. Through Bank deposit the banks are provide an interest to the investors. Ther are several bank deposit like fixed deposit, recurring deposit, and savings bank deposit.
- Post office Deposit
Tis similar to savings bank deposit. There are many schemes to investors to invest. The important scheme is Post Office Monthly Income Scheme ( POMIS). In POMIS the investor can earn an income every month form his investment instead of getting a lum sum amount on maturity.
- Company Deposit
The deposit placed by investors with the companies for fixed period of time called company deposit.
- · Provident fund deposit
Provident and deposit Two are two types public Provident fund and employees Provident fund
- · Public Provident fund.
The Government of India put forward the public Provident scheme to ensure that everyone could have some funds available in their old age.
- · Employees Provident fund
Employees Provident fund is available only two salaried employees. Employees prudent fund is compulsory if the investor is an employee.
- · Commodities
These are another type of investment method. Metals petroleum products and agricultural products Are the main commodities.
- · Real estate
By real estate we mean land and everything permanently attached to it like trees, buildings etc. real estate investment incurs high level of transaction costs.
- · Bonds or debentures
Bonds or debentures are Long term debt instruments. Debentures are issued by private companies but bonds are issued by public companies.
- · Government securities
Debt securities issued by the central government state government and quasi government agencies are called government securities.
- · money market instruments
the debt instruments, which have a maturity off less than one year it is called money market instruments.
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