Three best financial decisions that give you secured future

There is no denying that financial stability is essential. As the family grows, the financial necessities grow with it. The financial needs at every stage of life are different, and one must be prepared to fulfill those. The market has several options of investment with various benefits. From life insurance to stock investment you find countless opportunities, yet you must choose that suits your requirement. Mutual fund investment has been one of the most popular options now, however, many are confused on how to invest in mutual funds. This article will guide you about the best three financial decisions you need to take to secure your future.

Investment in life insurance

Investment done in life insurance will be your one of the best financial decisions you will ever make in your life. It is said that life insurance comes up with the fact that it is a step taken to safeguard, care and protect you and your loved one’s future. The life insurance provides you security & assurance along with tax saving, saving tool, retirement plan and it also helps in solving debt issues. If you are looking for an easy and stress-free investment, then life insurance is an ideal option.

Investment in mutual funds-

Itis another decision you can take to safeguard your future. It works perfectly forpeople all age group.However, people are often puzzled about how to invest in mutual funds. With SIP, one can start investing in mutual funds with a small amount of Rs. 500. Systematic Investment Plan allows the investor to invest sum periodically on a predetermined date. It is an automated process, and a certain amount will be debited from your account on the predetermined date simplifying your worry about how to invest in mutual funds regularly. In case of emergency, you can redeem your fund whenever you want. Another advantage of MFs is that it does not have a lock-in period like other schemes which again gives the flexibility to the investor to withdraw the money any time he wants. If you do not know how to invest in mutual funds, you need not have to worry a lot. There are mutual fund companies or third parties who help the investors to lock their money systematically.

Investment in National Pension scheme, EPF and PPF-

Everyone wishes to save a hefty sum for their retired life. If you are looking for a risk-freeinvestment option then PPF, National Pension Scheme and EPF are the best options. A national pension scheme is a government-sponsored program, which helps you build a good corpus. It is tax efficient, liquid, flexible, low cost, and portable to the saving account. Employee provident fund (EPF) and public provident fund (PPF) are also useful investment options for the post-retirement life. They are considered as secured investment options with guaranteed returns around 8% and 8.5% respectively. Starting your investment with a small amount will help in giving great results.

Choosing the appropriate option for investment can be tricky. People often get confused with a plethora of options available yet one should select according to requirements only. These three options are one of the best investment tools one can look.