In today’s economic environment, earning a passive income has become increasingly important. With high interest rates and various investment options available, it’s crucial to choose wisely to maximize your returns. In this blog post, we explore the top fixed income investment options and introduce an exciting fractional investing opportunity through Ashton Gray.
Short Duration Funds (SDFs)
In a rising interest rate environment, SDFs are an attractive option. These funds invest in bonds with short to medium maturities and have the potential to generate returns of 7-8% per annum over the next year.
Bank and Corporate Fixed Deposits (FDs)
Conservative investors can choose from a variety of FD products offered by banks, Small Finance Banks (SFBs), and new-age banks. Corporate FDs provided by financially stable companies offer higher interest rates than banks. Remember, bank FDs are insured up to Rs 5 lakh, while Corporate FDs are not government-insured.
Tax-free bonds, listed on BSE and NSE, provide tax-free interest and are an attractive option for investors in higher tax brackets. Choose bonds with higher liquidity and YTM that match your investment horizon.
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Non-Convertible Debentures (NCDs)
Issued by corporates for long-term funding, NCDs offer another option for investors with a medium risk profile. Consider NCDs with higher ratings, better YTM, and ample liquidity on exchanges.
Government Securities (G-Secs)
Backed by the Government of India, G-Secs are virtually credit-risk-free investments. They can be bought through RBI’s Retail Direct platform or the secondary market using trading and demat accounts. Alternatively, consider gilt mutual fund schemes for a more convenient way to invest in G-Secs.
Ashton Gray’s Fractional Investing in US Real Estate
Ashton Gray provides a unique opportunity for investors looking to generate passive income by investing in US real estate. By sourcing funds from investors in India and investing through RBI’s Overseas Direct Investment plan, Ashton Gray offers an impressive 18% interest on investments, along with fixed monthly payouts. This provides you with both attractive returns and a steady income stream.
Earning passive income is crucial in today’s economic environment. With various fixed income investment options available, it’s essential to choose the ones that best suit your risk profile and financial goals. Consider these top options along with the exciting fractional investing opportunity through Ashton Gray to maximize your returns and generate a steady income stream.