Fixed Deposit or Debt Funds- where to invest?

All of us know about fixed deposits, so first lets see the meaning of debt funds. Debt fund is a mutual fund which mainly invests in a mix of debt or fixed income securities such as treasury bills, government securities, etc. They have generally fixed rate of interest and fixed maturity date. Fixed deposits are generally preferred by risk averse investors.

1. Debt funds are more tax efficient than fixed deposits.
In fixed deposits, if your income increases to Rs10k or more then bank will deduct 10.,3% from your income & amount of fixed deposit is taxed every year irrespective of its […] Read more


Many of us think that fixed deposit is safest form of investment, but here are few things that should be considered while investing in fixed deposits:

1. FIXED DEPOSITS ARE NOT ENTIRELY SAFE: You must split your amount of investment and invest in different banks as fixed deposits. This will safeguard your money, an added advantage is that if you need the amount in case of an emergency, you won’t have to break the entire deposit.

2. LADDER YOUR INVESTMENTS: Fixed Deposits are prone to uncertainty because interest rates move in multi year cycles. To avoid such uncertainity build a ladder […] Read more