Best Investment Plan With High Returns

4 mins read
by Angel One

Risk and returns are two critical terms in every individual’s life. It is not possible to achieve life goals like owning a car or buying a house with regular income alone. One has to save and invest his/her money in return-generating instruments to accumulate wealth. Every investment instrument comes with a certain level of risk associated with it. It is often said, higher the returns, higher will be the risk. However, smart money management can help you reduce the risk while simultaneously ensuring high returns.

What is risk-free?

How much risk can be considered as risk-free? Generally, investments that deliver high returns like equity are relatively risky. On the other end of the spectrum are extremely safe investments like a bank fixed deposit or sovereign-backed investments. These investments are considered to be safe but deliver meagre returns. Best investment plan with high returns is one that ensures high returns but eliminates the risk associated with it. It has to be mentioned that no investment is completely risk-free, however, the risk can be made negligible with proper planning.

To start with the best investment plans with high returns in India, it is important to set a level of minimum returns. Let us take the returns delivered by bank fixed deposit as the minimum level of returns to expect. Bank fixed deposits offer returns in the vicinity of 7% per annum. To be considered as an investment with high returns and low risk, an instrument will have to generate more than 7% in a year with minimum risk. One way to reduce risk is to invest in low-risk investment options like fixed deposits, recurring deposits and short-term debt funds. Investing in low-risk products will not generate high returns. However, the aim should be to invest in instruments that generate considerable returns and try to reduce the risk with smart planning.

How to reduce the risk of high-return investment options?

The first step to getting the best investment plans with high returns is to plan the deployment of the money. It can be achieved in four steps.

  • Save and invest regularly: One cannot build a corpus without investing regularly. Set up investments that require regular contributions like a systematic investment plan (SIP) or a recurring deposit.
  • Fixed-return plans: The money that you save shouldn’t be sitting idle. As soon as the money is set aside for investing, it should start generating returns. A simple way to ensure your money doesn’t sit idle is to invest in debt funds. Short term debt funds will provide fixed returns on the money invested.
  • Wait patiently: The money that you set aside has been earning a fixed amount in debt funds, but it will not generate high returns in the long term. To improve returns, you will have to time the market and shift funds from fixed return instruments to high-return investments like equity. Wait patiently before investing in the equity markets and enter at the most favourable time.
  • Invest in high return plans: To earn high returns, you will have to programme automatic switching of the corpus from debt funds to high-return plans.

What are high-return plans?

The question arises what are high return plans? High return plans should be a combination of short-term investment plans with high returns, best investment plan with high returns and monthly investment plan with high returns. Some of the best investment plans with high returns in India are value stocks, dividend-paying stocks, sector funds and rental property.

To zero in on the best value stocks, shortlist a few blue-chip companies and start monitoring their price. Derive the intrinsic value of the stocks under consideration through stock analysis. As soon as the stock price falls below the intrinsic value, invest in the stock.

There are always some sectors in the stock market that have potential but fall out of favour with investors for some time. For instance, the pharma sector was underperforming for several years before the Covid-19 pandemic hit. Identify such sectors and start a SIP that invests in the sector. Apart from the stock market, you can also invest in real estate that generates rental income. Opt for smaller dwellings as they are cheap and choose the right location.


Earning high returns with low risk is not easy, but it is not impossible either. The key to unlocking the best investment plan with high returns in India is to formulate a workable plan and stick to it. The plan should have a practical exit strategy also. It is worth remembering that liquidating your investments at the right time is as important as investing.