INVESTMENT ALTERNATIVESINTRODUCTION

MEANING

INVESTMENT ALTERNATIVES MEANS VARIOUS OPTIONS AVAILABLE TO AN INVESTOR IN THE MARKET.

TYPES OF INVESTMENT ALTERNATIVESNEGOTIABL

E SECURITIE

S

NON NEGOTIABL

E SECURITIE

S

NEGOTIABLE SECURITIES

VARIABLE INCOME SECURITIES

FIXED INCOME SECURITIES

VARIABLE INCOME SECURITIES

GROWTH SHARES

INCOME SHARES

DEFENSIVE SHARES

CYCLICAL SHARES

SPECULATIVE SHARES

GROWTH SHARES

•THAT HAVE HIGHER RATE OF GROWTH THAN THE INDUSTRIALTHE INDUSTRIAL GROWTH RATEIN PROFITABIKITY ARE REFERRED TO AS GROWTH SHARES.

FIXED INCOME SECURITIES

PREFERENCE SHARES

IVP AND KVP

COMMERCIAL PAPERS

CERTIFICATE OF DEPOSIT

GOVT. SECURITIES

DEBENTURES BONDS

TREASURY BILLS

NON NEGOTIABLE SECURITIES

DEPOSITS

LIFE INSURANC

E

REAL ASSETS

TAX SHELTER SAVING

SCHEMES

MUTUAL FUNDS

REAL ESTATE

DEPOSITS

BANK DEPOSIT

POST OFFICE

DEPOSIT

NBFC DEPOSITS

SECURITY

POSOFFICE SAVING ACCOUNT

INT.RATE 3.5%

INT. IS TAX EXEMPT

MAX. BAL 50000 AND

100000

AMT SHOULD BE RS.20 FOR

ORDINARY ACCOUNT

POST OFFICE TIME DEPOSITS

DEPOSIT CAN BE MULTIPLE

OF 50

NO WITHDRAWL

UPTO 6 MONTHS

TAX DEDUCTION

HIGH INT. RATE AS COMPARE

TO BANK DEPOSIT

IT CAN BE PLEDGED

WITHDRAWL AFTER 6

MONTH TO ONE YEAR .,NO INT. IS PAYABLES

MONTHLY INCOME SCHEME OF POST OFFICE

TERM SCHEME IS 6 YEARS

INT.RATE IS 8% PER ANNUM

FACILITY OF PREMATURE WITHDRAWL AFTER ONE YEAR.

KISAN VIKAS PATRA

CAN BE PLEDGED

8.4% INT. RATE

NO MAX

LIMIT ,MI

N.IS

1000

TAX SHELTER SCHEMES

PPF

NATIONAL SAVING SCHEMES

NATIONAL SAVING CETIFICATES

MUTUAL FUND

OPEN ENDED SCHEMES

CLOSE ENDED SCHEMES

REAL ASSET

ART OBJECTS

RESIDENTIAL HOUSE

COMMERCIAL PROPERTY

AGRICULTURE FARM

GOLD

REAL ESTATE

AGRICULTURE LAND

SEMIURBAN LAND

COMMERCIAL PROPERTY

RESORT HOME

SECOND HOUSE

PRECIOUS OBJECTS

GOLD AND

SILVER

PRECIOUS

STONES

ART OBJECTS

BENEFITS OF MAKING INVESTMENT INREAL ESTATE

HIGH CAPITAL APPRECIATION

AVAILABILITY OF LOANS TAX REBATE

PSYCHOLOGICALLY SECURE FEELING

POINTS TO BE TAKEN CARE OF

LEGAL APPROVALPOSSIBILITY OF

CAPITAL APPRECIATION

ORIGINALITY OF TITLE DEEDS

CREDIBILITY OF BROKER

CRITERIA FOR EVALUATION

RATE OF RETURN

RISK

MARKETABILITYTAX SHELTER

CONVENIENCE

Money market instrument

•DEBT INSTRUMENT WHICH HAVE A MATURITY OF LESS THAN ONE YEAR AT THE TIME OF ISSUE ARE CALLED MONEY MARKET INSTRUMENT.

ART AND ANTIQUES

•PAINTINGS ARE THE MOST SOUGHT AFTER FORM OF ART. PRICES ARE RISING AND IN WESTERN COUNTRIES INVESTMETN IN ANTIQUES IS MORE COMMON THAN IN INDIA. THE ANTIQUE IS AN OBJECT OF HISTORICAL INTEREST.