What is the best way to invest money in India?

Question

I would like to consistently invest some money in India, say on monthly basis, but as I live outside India, please can someone tell me the correct way of doing it.

I have my parents living in Delhi. And I do go every year there, but I feels that some opportnuties are missed whenever I checked for land/properties etc. Parents are elders and moreover I don't want them to go around and look for things for me.

Answer 1

The first thing to do is to spell out investment strategies, then adhere to it

Spell out your investment goals and have an achievable time frame. This should be at least 3 years, but I advise my clients a 5-7 year time horizon at least. Any shorter periods assured by anyone else could be trouble, it's your money that's on the line and not the advisers.

Investments should be spread over as many baskets as manageable, but must cover insurance, direst equity exposure, Mutual Funds, Government securities, Fixed Deposits, Real Estate, Gold, Futures and Options, Commodities, etc.

Hedging is an important part of the strategy too.

Probably as an NRI, you may have some additional benefits in terms of interests.

A free word of advise - Rather than invest in Unit Link Insurance Plans (ULIP), it is better to invest directly into Mutual Funds and to go in for a Term Assurance or low cost Endowment Life Insurance policy, because Mutual Funds will give you far better returns than ULIP's investment patterns of which are governed by a Regulatory Authority and have limitations to exposure into many attractive financial options. This also gives you the flexibility to switch to another Mutual Fund scheme rather than being tied up with a long term ULIP where you may end up losing if you opted out of it.


All the best!
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Answer 2

Simple method for investment is through mutual funds. There are plenty of mutual funds. Based on the duration you would like to stay invested and amount the volatility you can tolerate, you can choose the products.

Choose a fund from some of the best fund houses which have proven with their systematic approach. These are HDFC, Franklin Templeton, Sundaram Mutual, Reliance and DSPML.

SEBI will come out with Real Estate Mutual Funds. This could help you to invest in real estate segment without going through the hassle of verification and documentation required for direct purchase.

Good luck.

Answer 3

Non Residents Indians (NRIs) and Persons of Indian Origin (PIOs) can invest in mutual fund schemes in India. NRIs, who can invest on repatriable basis or non-repatriable basis, do not require special approval from authorities such as the RBI. To invest on a repatriable basis NRIs must have an NRE account or FCNR account with a bank in India and the investment money should be remitted through usual banking channels or from the NRE/FCNR account of the investor. Investment can be made on a non-repatriation basis if the investment is made from NRO account or NRE/FCNR account.

For more information, read here: http://www.oifc.in/investment-mutual-funds.

Answer 4

Invest in real estate. Buy all the real estate you can. The only thing it can do is go up in price and you ultimately decide the price. Like sitesell. com/ satisfies. html does with it's investment of things and deciding it's own price of things.

Answer 5

if u have relationship in India... then u can invest ur money on interest. but its risky.

dont do it on monthly basis.... think bout invest in land/property... its growing...

Answer 6

Invest in opium, and hashish and send it back to your mother land. They love that stuff out there!

Answer 7

you can invest in India stocks on the new york stock exchange here in the states,i.e.ifn,iif,infy,vsl,wit,say,ttm,igc, for example .these are stocks symbols for India stocks .you can go to yahoo finance to check these symbols out.