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Long-term investments, typically held for 5 to 10 years, help you build a financial cushion for major life goals like your child’s education, wedding or retirement.
Here are a few long-term investment options you can consider in 2025.
Planning for the future is one of the wisest financial moves you can make. Long-term investments not only help grow your wealth steadily but also create a strong foundation for financial security. Whether you’re saving for retirement, buying a home, or planning your child’s education, selecting the right investment options is crucial. Here are some of the top long-term investment avenues to consider in India in 2025.
Public Provident Fund (PPF)
PPF is one of the safest long-term investments in India. Backed by the government, it offers attractive interest rates and tax benefits. The lock-in period is 15 years, and the returns are completely tax-free. It’s a good option for those who want steady, low-risk growth.
National Pension System (NPS)
NPS is a government-backed pension scheme that helps you save for retirement. It offers a mix of equity, corporate bonds, and government securities. Contributions are eligible for tax deductions, and the money you invest grows over time, ensuring financial stability post-retirement.
Equity Mutual Funds
If you are looking for higher returns over a long period, equity mutual funds are worth considering. These funds invest in stocks and can offer substantial growth over 5 to 10 years. While they carry some risk, long-term investment helps reduce market volatility and maximise returns through compounding.
Unit Linked Insurance Plans (ULIPs)
ULIPs offer a blend of insurance and investment. A portion of your premium provides life cover, while the remainder is invested in equity or debt funds, depending on your risk preference. With a mandatory lock-in period of five years, ULIPs can be a smart option if you’re looking for both financial protection and long-term wealth creation.
Real Estate
Buying property can be a solid long-term investment. Though it requires a large upfront cost, it can offer good appreciation and rental income. It is best suited for those looking for tangible assets and can hold property for many years.
Stocks And Direct Equity
Investing in individual company stocks can yield high returns if done wisely and with a long-term view. It is suitable for those who understand the market or are willing to learn. Holding good-quality stocks for years can lead to significant wealth creation.
Long-term investments take time and planning. Choose what fits your goals and stay consistent—your money will grow.
A team of writers and reporters decodes vast terms of personal finance and making money matters simpler for you. From latest initial public offerings (IPOs) in the market to best investment options, we cover al…Read More
A team of writers and reporters decodes vast terms of personal finance and making money matters simpler for you. From latest initial public offerings (IPOs) in the market to best investment options, we cover al… Read More
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