Best 10 Year Investment Plans in 2024

Whether you have a lot of savings or not, investment in today’s time has become extremely crucial. To grow your money in the best possible way, it is very important to invest in either short-term or long-term investment plans. So, if you have been looking for the best investment plans in 2024, this is the right place for you.

What are 10-Year Investment Plans?

As the name suggests, a 10-year investment plan is one in which you invest your money for 10 years. Whether you're planning for retirement, your child's education, or simply building wealth, a 10-year investment plan can meet all your needs. It is a type of investment plan that is specially designed to achieve long-term financial goals and build wealth over a decade. The primary aim of a 10-year investment plan is to harness the power of compounding and time to generate substantial returns while minimizing short-term market fluctuations.

Best 10-year Investment Plans In 2024

Listed below are some of the 10-year investment plans that can be best suited to meet your investment objectives:

1. Fixed Deposits

One of the most popular investment options in India is fixed deposits. Fixed deposits as the name suggests let you invest a specific amount of money in financial institutions like banks to get guaranteed returns after a specified period. The returns generated out of a fixed deposit depend on the FD interest rates. So, before investing in it, compare the FD interest rates of different banks. You can open a bank FD both online and offline, depending on your convenience.

2. Public Provident Fund

Public Provident Fund or PPFs is one of the safest investment options in India as it is backed by the government of India. A PPF account can be opened in any bank or financial institution and it comes with a lock-in period of 5 years. This means that you will be eligible for partial withdrawals from a PPF account from 6th year onwards. Moreover, a PPF account also works as loan collateral. 

3. National Pension Scheme

The National Pension Scheme or NPS is an effective financial instrument for retirement planning. It offers a mix of equity and debt options, allowing you to choose your asset allocation. NPS has a lock-in period until retirement, but partial withdrawals are allowed for specific purposes. Moreover, the interest generated out of the National Pension Scheme is tax-free, thus with NPS, you can do tax savings too.

4. Gold

Another way in which you can invest for 10 years is through gold investment. You can invest in both digital and physical gold to accumulate a substantial amount of money after 10 years. However, make sure to purchase physical gold from an authorised dealer that has a BIS Hallmark certificate. On the other hand, digital gold such as Gold ETFs, Gold Sovereign Bonds, etc. can be easily bought online.

5. ULIPs

Last but not least on our list is the ULIP or Unit Linked Insurance plan. A ULIP plan offers the benefits of both investment and life insurance and thus is a great option for investors looking for dual benefits at affordable rates. When you invest in a ULIP, you are eligible to make a limited number of free switches between different funds as per your requirements. You can also make partial withdrawals from ULIP after a lock-in period of 5 years is completed. 

Benefits of 10-Year Investment Plans

Some of the benefits of investing in a 10-year investment plan include the following:

• With a 10-year investment like ULIPs, and Fixed Deposits, you will easily be able to create a corpus for your golden phase of life. When you have sufficient investment funds post-retirement, it becomes so much easier to live your dreams without worrying about the money.
• The money created with the help of a 10-year investment plan can also be used for funding your child’s education. 
• The money you invest in a 10-year plan grows through the power of compounding and thus creates a sufficient amount of money during the policy term.
• You can also the money created with a 10-year investment plan to pay off your debts while creating wealth at the same time.
• Through different investment plans, you can also enjoy tax savings as per section 80C of the Income Tax Act of 1961.

Factors to Consider While Buying 10-year Investment Plans

While buying a 10-year investment plan, you need to consider several factors as listed below:

• Future Goals: You need to first analyse your future goals as in what will your future financial needs be. Strategic planning of your future goals helps in choosing the right investment plan that is also aligned with your requirements.
• Liquidity: Different investment options come with a lock-in period. So, if you want to do partial withdrawals, then it is suggested that you invest in a plan that offers liquidity.
• Diversification: You should keep in mind to diversify your investment portfolio. Doing so helps in creating substantial wealth in the long run.
• Market Fluctuation: The returns generated out of an investment plan largely depend on market conditions which is why it becomes very important to keep it in mind. You should analyse your risk appetite and accordingly invest in the right plan. 

Take Away

A 10-year investment plan is a strategic way to grow your wealth and work toward your long-term financial goals. Do not forget to regularly review your portfolio and make adjustments as necessary can help you stay on track and achieve your financial milestones over the next decade and beyond.

Also read: Best SBI Investment Plans to Buy in 2024