What are the Various Investment Options available in the Market?

What are the Various Investment Options available in the Market?

The question ‘what is an investment’ is mostly followed by understanding your investment objectives and identifying where to invest. Keeping aside investments in real estate and assets like jewellery and all, when it comes to different instruments, another aspect of understanding ‘what is investment meaning’ is to know about different types of investments. The first refers to equity investments, and the second category includes debt instruments. If your investment objectives match, equity investments can offer greater returns and carry relatively higher risk. While debt instruments are less risky, but offer relatively low returns.

Further, what is investment meaning can also be understood from the perspective of how they are acquired.

Following are different types of investments in India:

1. Stocks

This includes shares of ownership of any company and helps you earn dividends in return.

2. Bonds 

Wondering what is investment meaning in terms of bonds? It means lending your money to an institution or government, for which you receive fixed interest at regular intervals and also the face value upon maturity.

3. Mutual Funds

In this, funds are collected from different investors and put in a company’s bonds or shares, which are managed by fund managers. On understanding what is investment meaning and your investment objectives, you may choose equity funds or debt funds, depending on your risk capacity.


ULIPs or Unit Linked Insurance Plans are a type of investment that provides both investment and life insurance benefits. A portion of the money invested into ULIPs is allocated for investment, meaning in this plan a part of your premium is invested in different funds and helps you earn market linked returns. It also offers tax-saving benefits of up to Rs. 1.5 lakhs under Section 80C.

5. Public Provident Fund (PPF)

Understanding investment meaning of PPF is simple. It is a government offered saving scheme that invests your funds for a specific period and helps you earn returns on the same. It provides an 8% interest rate starting 1st October 2018

For your benefit, you may also find out what is investment for tax saving and invest in such plans. Also, as discussed earlier, when you ponder over what is investment meaning and similar questions, consider adding term plans and health insurance policies in your portfolio for securing your family.

After this, put your funds in instruments like ULIP, mutual funds, ELSS (Equity linked savings scheme) and other government plans.

When talking about equity investments, you may wonder what is equity share?

Here’s what you need to know to understand what is equity share:

Any corporation can use equity shares as a long-term financing source. These are non-redeemable shares that are issued to the general public. Shareholders have the right to vote, share profits, and claim a company's assets. Understanding what is equity share can help you make more informed decisions and create a diverse investment portfolio.