In the current stock market scenario when the equity market is volatile and general investor found hard to enter or invest further in primary or secondary market.
But some of investment options have emerged nowadays which are offering much better return for an investor to invest there hard earned money.
These sector includes Fixed Deposit , Metal Sector (Gold and Silver) and property. As we know diversification is the first and foremost principle of investment , which guides us to investment the total sum in different sector in different ratio so that the risk factor could be minimized and as well the profit capacity of different sector could be availed, in case one of the investment opportunity fails to provide handsome profit then the other sector could lead us.
Fixed deposit are offering about 10% of annual return compounded quaterly for a period of deposit of less than 3years . Though senior citizen are eligible to get a 0.5% hike on the current rates.
Gold has shown a remarkable return in the past time and has jumped from rs 4000 (10 gms /24cts) to rs 13800 (10 gms /24cts) .The price of the gold has be guided by the crude price , inflation , demand supply ratio and other financial factors. The gold has been predicted to get slowdown and face a heavy recession in the period from 1st Of August 2008 to 15th Of september 2008 whereby a lowest of this year will be seen and thereafter there is a great future ahead with a suspection of 25000 (10 gms /24cts) by end of 2009 assuring a very good return.
The present time is suitable to accumulate gold but my advice would be to accumulate in installments as no body could predict the exact lows and as well as highs from where a turn around is expected so if you budget to buy 500 gms buy in 5 installments at different times at different prices so that averaging may provide a reasonable price. As we know whenever a stock jump or gold soar market rumors of much higher level spreads and people can't sell at these level or vice versa when the stock start falling down new lower levels are targeted and people fails to buy at those level and hence trader could never buy at lower level and sell at higher level. so its better to start averaging at different levels.