From assigning dedicated relationship managers to conducting transparent disbursals of funds, these platforms have become quintessential in the hassle-free trading experience for veteran and new investors.

Things To Remember During Investment

It is beneficial for investors to keep some crucial factors in mind during asset allocation, such as:

• Emphasise On Portfolio Diversification
  The economic pundits suggest that investing all of your money in a particular asset can be detrimental, as one underperforming asset can lead to severe portfolio loss. Thus, even if you are trading in a bear market due to inflation or other volatility, the entire portfolio performance can likely withstand the downturn without significant loss. Therefore, investing in a diverse range of asset classes is essential.
  
  
• Start Investing Early
  As a first-time investor, if you have been wondering when is the right time to start trading, market specialists suggest investing at an early age is beneficial in the long run. It provides ample time to accumulate wealth and has future propositions like a retirement plan—the loss tolerance capacity of your portfolio increases when you invest from an early age. Additionally, the long period allows you to participate in more high-risk investments, generating higher returns and having ample scope to recover from a wrong decision without jeopardising your long-term financial goals.
  
  
• Avoid Market Timing
  Conducting trading based on speculations about the market's behaviour can be detrimental. So, if you decide to buy or sell your assets by assuming how the price movements might look in the future, you are open to missing out on impressive market peaks. Suffice it to say timing the market solely on a theoretical model is next to impossible. That is why continuously investing is vital if you are looking for high and profitable returns down the line.
  
  

What Are The Best Ways To Invest Money?

Keep in mind that thorough background research from your end is crucial to determine what kind of investments can better cater to your economic goals. However, in general, if you want low-risk investment options that can lead to accomplishing your economic goals while maintaining your financial discipline, consider these your ideal options:

• Bonds
  Private or public corporations can issue bonds to grow their capital by fundraising from their investors. So, when you become a bondholder of a corporation, it is legally obligated to return you the principal amount invested at the end of the maturity period. In the meantime, you receive a fixed interest over the bond's tenure. So, you can rest assured about getting a predictable income stream even if the market faces volatility.
  
  Moreover, as you can also opt to sell off your debts to others, you have the alternative of selling a bond before its maturity period. This way, you can gain capital if you get a higher amount than what you initially invested while purchasing the bond.
  
  Investing in bonds comes with manifold benefits. For instance, if you are dealing with tax-free bonds issued by public undertakings, your earnings from the interest are exempt from taxation. So, if you fall under a higher tax bracket, this can be an effective investment solution.
  
  
• Digital Gold and Silver
  Traditional investing methods in physical gold and silver can have their fair share of problems. For one, it can be challenging to ensure a secure storage solution. Additionally, especially regarding gold jewellery, return rates for such investments are almost always not profitable.
  
  That is why online digital gold purchase has replaced these aforementioned means of investing in physical gold. Your service provider remains responsible for storing the gold in a secure digital vault. Moreover, the providers also ensure that these gold and silver purity are up to the mark. This way, you can trade from the comfort of your home without worrying about storage issues.
  
  Notably, you will be trading in the live market rates whenever you buy or sell digital gold or silver. Therefore, you can rest assured about the transparency of the fund disbursal methods at work. It is also interesting to note that the leading fintech providers guarantee that you can sell these products anytime and get the cash in only two days.
  
  Furthermore, investing in digital gold is a significantly cost-effective alternative for you. To elaborate, you need to pay a recurring annual 0.5%-1% for transactions related to gold ETFs and funds. Alternatively, as you purchase digital gold, it only costs the added charge of a one-time 3% GST payment.
  
  
• Invoice Discounting
  When a business provides a product or service to a buyer, it raises an invoice against it. In simpler terms, this invoice is a legal document that functions as an official request for payment to the customer. However, as the customer has a prolonged window to pay the amount to the seller, it can jeopardise the business proceedings of the seller's company. Such issues are especially prevalent in the MSME sector of India, where business owners do not have proper access to formal credits due to their lack of assets and capital.
  
  Therefore, if cash is tangled up in these accounts receivables, these businesses cannot attend to the necessities like buying raw materials or paying their employees. That is why more and more small business owners are showing interest in invoice financing. They can leverage the previous unpaid invoices to get a working capital boost from third-party intermediary financiers.
  
  The leading invoice discounting platforms in India can list these bills on their platforms for potential investors. Moreover, these platforms run a comprehensive background check of the businesses involved, so you have a mitigated risk factor if you become an investor by paying off the invoice amount to such a small enterprise.
  
  There is also an added notion of financial autonomy, as it is up to you how much you want to invest. In other words, you don't need to pay off the total amount of the accounts receivable. Furthermore, such short-term investment can lead to a return rate as high as 20% within one to three months.