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These days, the Diwali atmosphere is everywhere, and along with the joy, money is also being talked about. Everyone wants to do something this festive season that will increase their wealth and make them even richer by next Diwali. But the question is, where should they invest? Mutual funds, FDs, RDs, PPFs, or gold? Don't worry. Today, we'll tell you about the most popular and money-making investment options, so you can make wise decisions and improve your luck.

Why is investing before Diwali important?

Diwali is considered a symbol of an auspicious beginning. Investing during this time can not only provide financial security but also lay a strong foundation for the future. Investing at the right time and in the right place helps you fight inflation and achieve your financial goals.

Let's take a look at these "unparalleled" options one by one:
1. Fixed Deposit (FD): The oldest and most reliable companion for "safe" earnings.
What it is: In an FD, you deposit money for a fixed period, and the bank pays you a fixed interest rate. It's considered the safest investment.
Best for: For those who are risk-averse and want a guaranteed return on their money. This is often the first choice for senior citizens.
Advantages: Money is 100% safe, guaranteed returns, and loan against FDs.
Disadvantages: It can be difficult to beat inflation, and returns are taxed.

2. Recurring Deposit (RD): Small savings, big benefits!
What it is: An RD is similar to an FD, but you deposit a small amount every month, making it ideal for those who can't invest a large sum at once.
Best for: Employed individuals or small investors who want to build a substantial corpus by saving small amounts every month.

Advantages: Develops the habit of small savings and keeps your money safe, with returns comparable to FDs.

Disadvantages: Like FDs, it can be difficult to beat inflation.
3. Public Provident Fund (PPF): Save Tax, Grow Your Money!
What It Is: PPF is a government-backed long-term savings scheme. You can invest up to ₹1.5 lakh annually, with a tenure of 15 years.

Best for: Those who want to make safe investments for the long term, save taxes (under Section 80C), and build a substantial retirement corpus.
Advantages: Falls under the EEE category (investment, interest, and maturity are all tax-free), government protection, and good interest rates (currently 7.1% per annum).

Disadvantages: Long lock-in period (15 years), difficult to withdraw in case of emergency.

4. Mutual Funds: Riding the 'Market' with Experts!
What It Is: In a mutual fund, you invest money together with other investors. The fund manager invests this money in the stock market or elsewhere.
Best For: Those who want to earn money from the stock market but can't do their own research. It involves some risk, but offers excellent long-term returns.
Advantages: Diversification (risk is spread), expert management, investment possible with small amounts (from ₹500/month via SIP).
Disadvantages: Subject to market risks, no guaranteed returns.

5. Gold: A companion in 'difficult' times and a 'great' investment!
What It Is: Gold is not just a jewelry item in India, but also a safe investment, considered the most reliable during times of inflation and economic uncertainty.
Best For: Those who want to diversify their portfolio, hedge against inflation, or for whom gold is an emotional investment.
Advantages: A hedge against inflation, useful in emergencies, and provides portfolio stability.
Disadvantages: Jewelry making charges and storage costs, purity issues (with physical gold).

Disclaimer: This content has been sourced and edited from Zee Business. While we have made modifications for clarity and presentation, the original content belongs to its respective authors and website. We do not claim ownership of the content.