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What are investment schemes

what are investment schemes

Debt mutual funds primarily invest in fixed-interest generating securities like corporate bonds, government securities, treasury bills, commercial paper and other money market instruments. From Wikipedia, the free encyclopedia. Read more about real estate.

Definition

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While selecting an investment avenue, you have to match your own risk profile with the risks associated with the product before investing.

what are investment schemes
Investment can be defined allocating money to assets with the hope that in the future it would provide some benefit such as generation of income. Property and gold are some common examples of the traditional type of investment. The value of property, gold, mutual funds and shares bought today may see a significant increase in the future. In the financial industry, investments can be bifurcated into two broad categories, namely traditional and alternative. This is the most popular category of investments which is done by the individual as well as corporates to yield benefits. The following types of investments can be listed in this category. The bonds are generally issued by the corporates to raise a higher amount of money, which the banks are incapable of lending.

Requirements for Offers of Collective Investment Schemes

Both fixed-income and market-linked investments have a role to plan in the process of wealth creation. Choose your reason below and click on the Report button. However, unlike other asset classes, real estate is highly illiquid. In reality, risk and returns are inversely related, i. As per the need, one may invstment for monthly, quarterly, half-yearly, yearly or cumulative interest option in. By Sunil Dhawan. The internal workings of a fund are more complicated than this description suggests.

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