Everyone wants to be the smartest person around – at least when it is concerning their wealth and financial matters. The definition of smartness can be different for everyone. Some people want to be smart enough to be able to invest in highest-paying options, while others want to be smart enough to know which is the safest option with high returns. In investments, a smart person knows his risk appetite and looks for options accordingly. He does not go beyond the riskiness levels he knows he can bear. If he cannot afford to lose a penny, he should be smart enough to not fall for promises of high and quick returns or stock tips.

How do smart people invest?

The markets will eventually tell you where you stand in your financial acumen. However, a smart person can always be the one who knows how to balance returns with safety and security. Blindly investing in mutual; funds and equity and few insurance plans without assessing if you really require is not the smart way to go. Follow these steps to understand if you are a smart investor-

  • You are aware of your risk appetite – This is determined by your age, number of working years left, income levels, number of dependents, money expenses and liabilities. These factors will give you an idea if you can invest in an option which can earn you high returns- as mostly high returns mean high risks.
  • Do your own research – Most people are too busy or too overwhelmed to do their own research when picking an investment option. Be a smart investor and do not just go by popular gimmicks. Chances are you have missed out an investment option which is safe as well as high paying in returns.
  • Explore fixed-income investments – While people chase equity, they forget to utilize various features in fixed income options. Returns in fixed income instruments are determined by interest rate levels. Some require more time than others to show returns. However, a high return investment easily available for you is Company Fixed Deposits. These are FDs by credible companies which are rated by famous rating agencies to assess their payback quality. You can easily earn 1-2% higher interest rates than bank FDs and gain high returns along with safety.

high return investment

Company Fixed Deposits and Interest Rates

Company fixed deposits earn the highest interest rates in the market. Credible and well-known companies like Bajaj Finance pay from 8.60% for a 5-year tenor whereas you would earn at the most 7.75% with a bank. If you are a smart investor, you will explore these quickly. There are various other features with a Bajaj Finance FD –

  • The credibility of payment – Bajaj Finance is a subsidiary of the Bajaj Group known for its credibility and trust. It has maintained this trust with a remarkable rating of MAAA (stable) rating from ICRA and FAAA/Stable from CRISIL. These should tell any smart investor that this is a good investment.
  • High ROI – Return on Investment is measured by dividing interest earned by initial capital. Bajaj Finance easily provides an ROI of 51% in a short duration of 5 years. A smart investor will understand that is far more stable and credible than volatility based investments in equity and mutual funds. You as a senior citizen can earn 8.95% in these Fds.
  • Other features matter as well – A smart investor has usually gone through many investment options before understanding the real pros and cons of each. He understands that ease of investing is essential.
  1. Bajaj Finance provides an online investment facility along with an online FD calculator to know your exact maturity amount on your chosen tenor.
  2. You can easily avail a loan up to 75% of the maturity amount when in dire need of immediate cash.

High FD interest rates with Bajaj Finance will aid your financial goals and using this you can be a smart investor without falling in the traps of financial agents.

Also Read: How To Make More Money With Just Rs. 5 Lakhs?

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