6 Best Investment Plans in India for high risk investors
6 Best Investment Plans in India for high risk investors
Are there any best investment plans in India for high risk investors where one can maximize the returns? Are there any best investment plans in India which can double or triple money in short term to medium term? We have done some research for the past 2 weeks and found that such plans are available for high risk investors. These investment plans would fall under high risk, high return investments.
What are high risk, high return investments?
Investments that carry very high risk, but there is greater potential that it would provide excellent returns.
If you are an investor, who look for safe investments or investors who want to take low risk, this is not your cup of tea. Please stay away from such investment options. These are good investment plans in India for high risk investors only.
Best investment plans in India for high risk investors
1) Investments in FMCG and Pharma mutual funds: Investments in sector based mutual funds would carry high risk. At the same time, it is one of the investment categories which has beaten all investment options and provided good returns.
FMCG Mutual funds: Investments in FMCG mutual funds have been giving good returns in the last 5 years.
- SBI FMCG Mutual funds gave annualized returns of 30% p.a. in the last 3 years
- ICICI Pru FMCG mutual funds gave annualized returns of 26% p.a. in the last 3 years
If you consider investing in FMCG mutual funds, your money would get doubled in less than 3 years. This is one of the good investment plans in India for high risk takers.
Pharma Mutual funds: Pharma sector is growing year on year. Investments in Pharma mutual funds have been giving good returns in the last few years.
- Reliance Pharma Mutual fund gave annualized returns of 26% p.a. in the last 5 years
- UTI Pharma mutual funds gave annualized returns of 18% p.a. in the last 5 years
If you consider investing in Pharma mutual funds like Reliance Pharma fund, your money would get doubled in 3 years. This is one of the best investment plans in India who expect high returns while taking risk.
Also read: Best Sector based mutual funds to invest in 2013
2) Investments in banking, FMCG and midcap stocks: Large cap stocks provide consistent good growth in their revenues and profits. However such stocks are over-valued and stock prices would have reached their peak levels. While they provide good returns on long run, you cannot expect very high returns. For high risk investors, there are investment options like investing in banking stocks, FMCG stocks, Pharma stocks and other mid-cap stocks which has good growth story. While investing in such stocks may carry some risk, they may provide good returns.
Best banking stocks: Some of the top banking stocks which one can look for investments are ICICI Bank, HDFC Bank, SBI, Axis Bank, Kotak Bank and Yes Bank.
Best FMCG stocks: ITC, HUL, Colgate, Dabur India, Nestle are some of the good stocks one for look for investments.
3) Investments in IPO’s: In 2012, the IPO stocks performance was good. Every 1 lakh investment done in IPO’s in last year has resulted in Rs 50,000 returns. While I may not suggest investing in all IPO’s, but you can invest in good IPO’s. Last week there was REPCO housing IPO (Crisil-3 rated) and there is an upcoming IPO next week (Opal Luxury, Crisil 4/5 rated) which are some of the best investment plans. Keep visiting our blog for such IPO recommendations to grow your investments by subscribing to IPO.
Also read: Performance of IPO's in 2012
4) Investment in Company Fixed deposits: Some time back, I was doing research about the best company fixed deposit schemes. The riskier it is, the higher the returns were. While I would not suggest you to invest in company fixed deposit which is high risk, you can take moderate risk and invest in company fixed deposits which earn higher returns.
- Ansal Properties, Jaiprakash Associates, Jaypee infratech are accepting fixed deposit schemes which are offering more than 12% interest rates. They are high risk investments.
- Alternative Shriram Transport finance (Crisil FAAA+ and ICRA MAA+) offers interest rates of 10.75% p.a. for 3 years deposits. This is one of the best investment plans in India who want to take moderate risk and benefit.
5) Investment in forex currency trading: Have you ever seen an advertisement about forex currency trading, which says, a person has started his forex trading before he starts to his office and make money within a few hours? Though it carries high risk, still there is possibility that we get higher returns through this investment plan. However don’t think that you can double your investment in a single day like it showed on the advertisement. I personally traded in forex currency trading for few days. It requires attention during the trading hours. You cannot do a 9 to 6 job and do this trading.
6) Investment through binary options trading: While forex currency trading investment option creates an idea that you money can be doubled within few days, trading in binary options is a win-lose or lose-win situation. You can get 80% returns in 60 seconds time or you would lose your entire investment. This is a very high risk investment option, rather it should be called as an investment gambling instead of investment option. I personally not traded in binary options trading. Read more about binary options trading here.
Conclusion: While I would have indicated several best investment plans in India for high risk investors, they should be chosen appropriately based on the risk capacity. I personally vote for options 1 to 4 to maximize the returns.
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Hi i am 26 and new in invesments, want to invest 2000 in SIP mutual funds for long term e.i for nearly 10 years. can you advice me how and where to invest to get a good return.
Neeraj, You should invest in large cap funds and diversified funds to gain good returns. HDFC Top-200, Birla SL Frontline, ICICI Pru focussed blue chip fund and to name a few good funds.
My name is Prashant, married and 43 years of age.
Can you please let me know the 2 best High-Risk High-Return Mutual Funds. I have 2 lacs of funds with me, which I plan to invest.
Also, if you could guide me with an SIP plan with highest returns, it would be very helpful.
I am new to MF investments.
Reliance Banking fund and Reliance Pharma fund are high risk high return funds. You can look in these funds. 1) Large cap – HDFC Top-200 / ICICI Pru focussed blue chip fund 2) Mid-cap – HDFC Mid-cap opps fund / Franklin India smaller co’s / SBI Midcap fund 3) Balanced – You can check HDFC Prudence / ICICI Balanced fund.
Check for DSP BLACK Rock natural resources…….it gave 40%+ returns last year and doing even better now
Thanks for the blog you’ve created for investments. I would like to know which is the best way to invest a lump sum amt for Rs 1-2 lac for short term and get good returns. I am also planning to buy the LIC Jeevan Sugam policy where I’ll pay a permium of Rs. 1 lac – what returns and loyalty bonus I would get is not very clear though. Did u get any updates from Mamtha on forex trading? Can you please reply to my email as I may not be able to read ur blog again. Thanks.
Prithi, If you are looking for short term investment options, pls go only for FD or debt mutual funds. LIC jeevan sugam is good. Regd the returns, it would depend upon your age. You can visit the LIC website and based on that you can compute your returns. I will mail you Mamtha mail ID for forex trading.
Thanks for the usefull info, after reading your posts i decided to start investing in MF(newbie).
As my age is 27 and single. Wish to take the high risk MF i.e, SBI FMCG with 2000 per month SIP. I have already brought the forms 🙂 but, i am in confusion what to chose ? either Dividend option or the Growth option. I wish to continue 2nd and 3rd year investment in this fund and will not remove funds before 3 years (only if uncertainity in markets or my own !).
Kindly suggest if this is good for me and is it Dividend or Growth that i should choose.
Somesh, In dividend option, your returns would be paid at frequent intervals like yearly. Under growth option, your money would be re-invested every year and it would get paid only at maturity. Your money would grow faster if you opt for growth option. If you want to income at frequent intervals then you should opt for dividend plan
Thank your Suresh, i’ll go with growth.
Would you suggest other high risk high returns investment ?.
Somesh, there are several options, I felt these are the top ones. I would list out all of them in one article in future.
Good information, I can say you are doing usefull reserch about the equity and Mutul fund, I have quers Regarding Mutul fund, If i want to invest directly (not through brokrage )agency in SBI FMCG Mutul fund, ICIC PRU FMCG mutul fund or other pharma mutul fund, To whom i should contact and those funds is it growth or divedent, which one best, can you personaly tell me one of those sector mutul fund which is beter to invet please
Vasu, if you want to directly invest you can contact the mutual fund scheme directly. Majorrity of the mutual funds offers online investing too.