Is it Worth Investing in FD's now ? What are the Alternatives Available ?
FD's or Fixed Deposits have always been a favorite investment options of people. Understandably so, As there is no depreciation in the value at least visibly from the invested amount. Lets take a case where a person has invested in FD's which fetches return's of say 7.00% per annum, This means that the returns offered here is guaranteed by the Financial institution like Bank. But in the current scenario where the inflation is hovering around 5% approximately, The inflation adjusted returns on these deposits made is around 3%, Adding tax on the interest earned into the picture the returns further diminishes. So is it sufficient to meet our goals and to achieve Financial Freedom ? Alternative to Fixed Deposit Most of you might be thinking then what are the alternatives available?. Hold on there is some good news for you there are other investment options or means available which offers more returns with more or less similar risks compared to the Fi