10 Best Low-Risk Investments of All Time

As women, we are naturally inclined to create a sense of balance in everything we do be it a career, managing the home, upbringing children, or finances. When it comes to achieving short-term goals like saving for your vacation, a child’s school fees, or buying an iPhone, stability is key. That’s where low-risk investments come in.

Low-risk or safe investment options not only help you grow your money safely for short-term goals but also act as a stabilizer in your overall investment portfolio. Even during market volatility, these investments ensure that a portion of your savings stays stable, offering peace of mind, as they act as a safety net for your portfolio.

10 Best Low Risk Investments

Lxme’s Gulluck

Lxme’s Gulluck is a first-of-its-kind Digital Piggy Bank for Women product that enables women to become the Smart Savers of tomorrow.  Designed with the utmost focus on ease and accessibility, this product provides the perfect solution for women. 

This further invests in liquid mutual funds offering you an instant redemption facility, which will enable your money to get credited to your bank accounts within a few minutes and the best part is, it’s low risk. The 3-year CAGR of this fund is 6.69%* (as of 3rd December 2024).

You can click here to check out Lxme’s Gulluck.

Lxme’s Ultra-Short-Term Plan

Lxme’s Ultra Short-Term Fund is designed to fulfill all your ultra-short-term goals. This fund invests in debt & hybrid mutual funds aiming to beat the savings bank account interest. You can invest in this fund for all your ultra-short-term goals. Most importantly it’s a low-risk investment option that has a 3-year CAGR of 6.70%* (as of 3rd December 2024).

You can click here to check out Lxme’s Ultra Short-Term Fund.

Lxme’s Short-Term Fund

Lxme’s Short-Term Fund is designed for women to invest in their short-term goals which fall within 1-3 years. This fund enables you to invest smartly. 

This is a diversified portfolio, which has a mix of 80% debt mutual funds and 20% equity mutual funds, which enables you to get better returns than other short-term investment options available. This fund’s 3-year CAGR is 9.53%* (as of 3rd December 2024). This fund is diversified, well-researched, and curated by experts.

You can click here to check out Lxme’s Short-Term Fund.

Public Provident Fund (PPF)

PPF is a government-backed savings scheme open to Resident Indians, parents can open an account on behalf of their child. It offers a fixed interest rate, currently at 7.1% p.a. which is compounded annually, and it’s revised every quarter by the government. PPF has a maturity period of 15 years, providing a secure investment option for long-term savings. However, it cannot beat inflation over the long term.

Mahila Samman Savings Certificate

This is a one-time small savings scheme for women and girls announced in Budget 2023. It will be available for 2 years i.e from April 2023 – March 2025. It offers a fixed interest rate of 7.5% p.a. compounded quarterly and allows a minimum deposit of Rs.1,000 and in multiples of Rs.100. however, it cannot beat inflation over the long term.

Fixed Deposits (FDs)

Fixed deposits are the choice of most of the women. You can put some proportion of your money in an FD for as short as 7 days or more, depending on your needs. It offers fixed returns and is low-risk. Plus, if you ever need your money, you can break the FD early (with a small penalty).

Post Office Monthly Income Scheme (POMIS)

This is a government-backed scheme where you can invest in the post office to receive regular monthly income. POMIS is a safe investment where you receive guaranteed monthly payouts. This can be great for women who want a steady income after retirement or who prefer regular cash flow. The prevailing interest rate is 7.4%.

National Savings Certificate (NSC)

The National Savings Certificate (NSC) is a savings option by the government that is backed by a fixed-income investment scheme offered by India Post. These certificates earn fixed interests to provide stable and long-term income. The prevailing interest rate is 7.7% p.a. compounded annually, however, it cannot beat inflation over the long term.

Recurring Deposit (RD)

It allows you to invest a fixed amount every month, making it perfect if you want to build up a short-term fund over time. You can choose an RD period from 6 months to a year or more, and since it’s low-risk, your money grows steadily with a fixed interest rate.

Sukanya Samriddhi Yojana (SSY)

This is a government investment scheme in India aimed at supporting the financial future of girl children which will help parents save for their daughter’s higher education and other expenses. The prevailing interest rate is 8.2% p.a. compounded annually, however, it cannot beat inflation over the long term

These are a few best low-risk savings plans. Creating an investment portfolio is all about maintaining balance so, as much as high-risk investment options are important, similarly low-risk investment options are also crucial. 

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