What are the various avenues of investment and explain tha verious forms of investment from a commna man perspective?
Answers
There can be numerous types or avenues for a common man to invest his money in and they can also be classified into various categories like ‘secured and unsecured investment’ or ‘investments with a higher return and investment with a lower return’ etc.
Considering a common man as an ‘individual’,he may have some of the following options:-
1.-Save the money with the bank and earn some interest like in savings account or fixed deposit account.
2.Invest the money in buying gold or some other valuable assets.
3.He may buy some property.
4.He may invest in some company’s share to earn some dividend.
5.He may lend the money to some other individual for a higher rate of return but with a higher risk of not getting the money back as well(if no collateral issued).
6.He may invest in policies such as life insurance or mutual funds.
7.He May start some small or medium size business.