Where can I invest Rs 2.5L to get monthly returns and not take any risk?

My mom saved up money, 2.5L over the last few years. Now she wants to invest it somewhere so that she can get some money on a monthly basis. I was thinking investing in 5 different funds, 50,000/- each. Please suggest.


Investing your hard earned money in order to gain good amount of returns is the most smart and efficient way of handling finances. Since you are wanting to invest 50,000 and at the same time don't want to take too much risk following are the options of investments:

1) Debt funds

2) Balanced funds

What are debt funds:

Debt Mutual Funds are mainly a mix of debt or fixed income securities such as Treasury Bills, Government Securities, Corporate Bonds, Money Market instruments and other debt securities of different time horizons. Generally, debt securities have a fixed maturity date & pay a fixed rate of interest. Due to this nature of fixed rate of return, income from debt mutual funds is risk free(unless there's financial crisis in the country). Investing in debt mutual funds will give you a rate of return of around 6-9% per annum. At times it may go higher than 9% considering the market conditions.

Top debt funds in 2018 to invest in:

  1. Axis Liquid Fund
  2. Indiabulls Liquid Fund – Growth
  3. L&T Short Term Income Fund
  4. Franklin India Low Duration Fund – Growth
  5. ICICI Prudential Long Term Plan

 What are balanced funds:

Balanced funds are a mix of debt and equity instruments, with investing at least 60-65% in equity or stocks and remaining 35-40% in debt funds. Due to their diversified portfolio, returns are expected to be better as compared to benchmark returns and also the element of risk is also comparatively less which tends to be a lucrative option for investment

Top balanced funds in 2018 to invest in:

  1. ICICI Prudential Balanced Advantage Fund
  2. Tata Retirement Savings Fund – Moderate Plan
  3. Aditya Birla Sun Life Balanced 95
  4. Reliance Regular Savings Fund – Balanced

Hope this answers your question.

Happy investing!

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