When it comes to investing, most of them look for something that would be safe and reliable and keep them out of facing risks. Of course, this is natural. We all want to keep our hard-earned money safe and simultaneously have it grow. No one wants to let their money sit idle over time. Rather, we would like to earn something over it. A safe investment is an investment that has zero to little risk. Yes, there are other investment options that involve a high amount of risks, but investors who are ideally concerned about the safety of their finances over their capital growth seek the safest of the investments.

So what are some of the best risk-free investments you can put your money in? Here are a few that you would find best for investments, with no to low risks only.

  • Savings Accounts – Very Low Risk
  • Post Office Schemes – Very Low Risk
  • Fixed Deposits – Low Risk
  • Recurring Deposits – Low Risks
  • PPF (Public Provident Funds) – Low Risk
  • Non-Equity Mutual Funds – Low to Moderate Risks

Savings Accounts

Every commercial bank offers a savings account for its customers to save up their hard-earned money. Now that a savings account is a necessity to manage finances, it also generates a minute amount of returns. In general, the returns are approximately around 4%, and this percentage varies from bank to bank. If you are looking to park your money and make frequent withdrawals, then a savings account can be an ideal choice. So you can choose a saving account and compare the interest rates that banks provide to select the best one for you.

Post Office Schemes

The Post Department of India offers various schemes that can help individuals grow their wealth. It also brings about the habit of saving. And also, the returns from Post Offices schemes are comparatively higher to banks and other NBFCs. A post office scheme usually does not offer online platforms or tracking systems, and it is completely mandatory for you to visit your nearest post office. With digitization happening rapidly, we can also expect the post department to adopt it soon, can’t we?

Fixed Deposits

You have heard this, haven’t you, and most undoubtedly, Fixed deposit is one of the safe investment options in India. For decades and decades, it has been a go-to option for Indians, and it has proved its part in the market. What can be a better place for surplus funds? It is mostly offered at all the banks with guaranteed returns at maturity, and most importantly, it is obviously risk-free.

Recurring Deposits

Recurring deposits are quite similar to fixed deposits. In a fixed deposit, the investment is done through a single deposit, and on the other hand, in a recurring deposit, the investments are made as fixed amounts at regular intervals. It can be once a month, for instance. Just like the fixed deposit, the recurring deposit also guarantees returns, and the interest rate on the recurring deposit does not change throughout the investment period, and on maturity, the invested amount is given as a lump sum along with the interest earned over it.

PPF (Public Provident Funds)

The Public Provident Fund is also a very popular saving option in India, and it also guarantees returns and tax exemptions. The Government provides this scheme to help individuals in saving up for their retirement. It is a scheme that can be opened at a bank or a post office. Usually, the tenure for this scheme is 15 years, and it can be extended further if needed. However, even premature withdrawals are applicable in the case of the scheme. So it is a win-win situation. It is safe, guaranteed, and gives you an option to tax saving.

Non-Equity Mutual Funds

Non-Equity Mutual Funds are more like debt and gilt funds, and they offer capital protection. They are schemes that carry a low amount of risk. It always invests in secure products like govt bonds, debentures, and gold bonds with fixed securities. The time horizon on these schemes is short, mid, or long, and it depends on the type of fund that has been chosen and your financial goals.


Apart from your money being safe, the one drawback that risk-free investments have is that they are only going to give in a low return. Leaving that as a given, every investor must invest in schemes based on their risk appetite, and low-risk investments are one of the best investments if you have a low-risk appetite and much to lose.