7 Best Low-Risk Investment Options in India for 2024

For those looking to grow their wealth without taking on excessive risk, low-risk investments are an ideal choice. These options are designed to provide steady returns while safeguarding your principal. Fixed-income assets, in particular, are highly favored by conservative investors.

Here’s a roundup of the best low-risk investment options available in India for 2024:

1. Fixed Deposits (FDs)

Fixed Deposits are one of the most popular low-risk investments. Offered by banks and NBFCs, FDs guarantee returns with a fixed interest rate over a specified period.

Key Benefits:

• Assured returns.

• Flexible tenure options range from 7 days to 10 years.

• Higher interest rates for senior citizens.

2. Public Provident Fund (PPF)

PPF is a government-backed savings scheme that offers tax-free returns and capital safety. The lock-in period is 15 years, but partial withdrawals are allowed after the 7th year.

Key Benefits:

• Tax benefits under Section 80C.

• Risk-free returns.

• Long-term compounding potential.

3. Government Bonds and Securities (G-Secs)

Government bonds and securities are debt instruments issued by the central and state governments. They are among the safest investment options, as they are backed by sovereign guarantees.

Key Benefits:

• Low default risk.

• Regular interest payments.

• Suitable for long-term investors.

Explore government bonds through platforms like Equirize, which provides access to a wide range of regulated fixed-income products.

4. Corporate Bonds

Corporate bonds are issued by companies to raise capital. Bonds with high credit ratings offer a balance between low risk and decent returns.

Key Benefits:

• Higher yields compared to FDs and G-Secs.

• Diversification opportunities.

• Fixed income through periodic interest payments.

At Equirize, you can invest in highly-rated corporate bonds, ensuring both safety and attractive returns.

5. Non-Convertible Debentures (NCDs)

NCDs are fixed-income instruments issued by companies, offering regular interest payouts. Secured NCDs are backed by the company’s assets, making them safer than unsecured ones.

Key Benefits:

• Competitive interest rates.

• Liquidity through stock market listing.

• Suitable for medium to long-term goals.

6. State Development Loans (SDLs)

SDLs are bonds issued by state governments to finance development projects. These are considered low-risk as they carry a sovereign guarantee.

Key Benefits:

• Reliable interest income.

• Ideal for conservative investors.

• Tax benefits in certain cases.

Platforms like Equirize simplify investing in SDLs, offering secure returns and a user-friendly experience.

7. Pass-Through Certificates (PTCs)

Securities backed by cash flows from underlying assets like loans or leases. An investor can enjoy fixed income from the cash flow from the pool of loans, like interest and principal payments.

Key Benefits:

• Provide diversification and attractive yields.

• Depends on the underlying assets and market conditions.

Why Fixed-Income Investments Are a Smart Choice

Fixed-income investments offer a predictable income stream and lower risk compared to equity markets. For investors prioritizing capital preservation and consistent returns, regulated debt products are a reliable option.

How Equirize Helps You Invest Safely

At Equirize, we specialize in regulated fixed-income products such as government bonds, corporate bonds, PTCs, SDLs, and NCDs. Our platform provides:

• Access to curated, low-risk investment options.

• Transparent information to make informed decisions.

• A seamless investing experience tailored to your financial goals.

Final Thoughts

Low-risk investments are perfect for conservative investors or those looking to diversify their portfolios with stable options. From FDs and PPFs to regulated debt products like corporate bonds and SDLs, these choices provide safety and steady returns.

Take the first step toward financial security with Equirize, your trusted partner for fixed-income investments. Secure your future today with investments that combine safety, reliability, and attractive returns.