InvestorQ : What are some of the investment options for a mother?
Rohan Bhadani made post

What are some of the investment options for a mother?

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Gauravi Patel answered.
1 year ago
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Well, it depends on various factors such as your risk-taking capacity, return expectations, investment horizon, and income.
Now, we can categorize investment based on risk:

If you have a high risk-bearing ability you can choose stock market investment (equity) to build your wealth. It provides higher returns and is suitable for the long-term perspective. So, this type of investment is suitable for investors who are young, have other stable income, and who do not have a lot of financial burdens.

If you have a moderate risk-taking ability, mutual fund investment is suitable for you as it involves comparatively lower risk than that of investment in stocks. This is mainly because the risk is diversified under mutual funds due to investment in multiple stocks and any changes are balanced out. However, returns on the mutual fund are still attractive as compared to other investment options in the long run.

If you have a low-risk appetite, you can choose from investment in government schemes like PPF, ELSS, NPS, fixed deposits, or post office schemes. The returns on these investments vary between 5-8% and they are best suitable for your retirement planning. This investment is generally preferred by conservative investors between the age group 45-60 who do not wish to bear high risk or any risk at all.
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