Women have repeatedly proven that they have what it takes to be successful in the world of investing. Several studies have demonstrated that women are often long-term oriented, patient, and risk-averse when it comes to investing decisions. Your own investing goals and risk tolerance will determine which investments are appropriate for you as a woman. Think about things like your financial objectives, risk tolerance, and investing horizon while making your decision.
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Mahila Samman Savings Certificate
The Mahila Samman Savings Certificate is a Government-Backed Scheme for women. The scheme is available from April 2023 to March 2025. The scheme is only available in the name of a woman or the guardian of a minor girl child.
Investment Amount: Minimum: ₹1,000; Maximum: ₹2 Lakh
Interest Rate: The scheme has a fixed interest rate of 7.5% per annum.
Maturity Period: The maturity period of the MSSC account is 2 years.
Partial withdrawal facility is available, you can withdraw up to 40% of the account balance after one year from the account opening date.
Source – indiapost.gov.in
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Sukanya Samriddhi Yojana (SSY) or Sukanya Samriddhi Account (SSA)
Sukanya Samriddhi Yojana (SSY) is another Government-Backed Investment Scheme designed for a girl child. The goal of the government-sponsored SSY is to encourage parents to set aside funds for their daughter’s future marriage and education. Advantages under the Income Tax Act’s Section 80C are offered, including competitive interest rates. Parents can open an SSY account for their daughter under the age of ten, and they can keep contributing to it until the daughter turns twenty-one.
SSY Account Eligibility: The SSY account can be opened in the name of a girl child only till she reaches the age of 10 years.
Investment Amount: The minimum investment amount is ₹ 250, and the maximum investment amount is ₹ 1.5 Lakh per financial year.
Note – Subsequent deposits in multiples of ₹ 50 can be made in a lump sum. There is no limit on the number of deposits, either in a month or in a financial year.
Interest Payment: The interest for the scheme is calculated yearly and yearly compounded.
Interest Rate: For the financial year 2024–25, the Interest Rate for the scheme is 8.2% per annum.
EEE tax exemption: Both interest and maturity amounts are tax-free up to ₹1.5 lakh per financial year under Section 80C of the Income Tax Act.
Maturity Period: 21 years or until her marriage upon attaining age 18 (whichever is earlier)
Investment Withdraw: Withdraw 50% of the account balance as of the last FY to meet the educational expenses of the girl child.
Source – indiapost.gov.in
3. Mutual funds via SIP
Women are quite active in the stock market, which is often regarded as one of the most profitable investing options. However, the Stock market is highly risky for investment and requires a high understanding and knowledge of the equity market. In recent times, the practice of investing in mutual funds has become much more popular recently.
What is a Mutual Fund?
A mutual fund is a kind of investing business that enables customers to combine their funds to buy stocks, bonds, and other assets. A qualified fund manager oversees the funds, choosing which securities to purchase and when to sell them. According to experts, mutual funds may greatly assist you in building substantial wealth if you invest your money in them properly.
Types of Mutual Funds?
There are two methods available for investing in mutual funds: Systematic Investment Plan (SIP) and Lump Sum. Investors using SIP can fund their preferred mutual funds with monthly contributions, often as little as Rs. 100.
SIP enables investors to contribute regularly on a monthly or quarterly basis for a certain amount of time, which might eventually result in higher profits. Compared to the lump sum strategy, the SIP strategy allows investors to choose various SIPs, which helps to diversify their portfolio. Mutual fund investments are accessible to all sorts of women investors, regardless of their risk tolerance level, from low to medium.
Mutual funds are of various types, depending on their investment nature in stocks. However, mutual Funds can be categorised mainly into three funds; Equity Funds, Debt Funds, and Hybrid Funds. These 3 funds are further sub-categorised into various funds as per their nature of investment and holding.
Disclaimer: The above content has been made for educational purposes only. Please do your research or consult a SEBI-registered investment adviser before making any financial decision. Past return is not a guarantee for future returns.