Investment Options Starting At Rs 500 That Women Must Know About

Many people think that in order to invest, they need a huge amount in their bank account. Therefore, We connected withCA Mahima Vachhrajani, a finance content creator on Instagram,to present to you investment options starting at ₹500.

She says, “Every drop in the ocean counts, similarly every little penny saved counts. I am sure you have heard of the saying ‘every penny saved is a penny earned’ but in my opinion, every penny saved should be a penny invested and compounded.”

This is something women must learn because though they are working, they are not financially independent. According to a 2022 survey by LXME, a financial platform for women, in association with Axis My India, at least 33% of Indian women do not invest at all. This number increases to 40% when we consider the age group of 21 to 25.

The reason behind this staggering number is the lack of financial knowledge, lack of time and fear of losing money. In another 2022 survey by TATA AIA Life Insurance, at least 89% of working women depend on their husbands when it comes to making financial decisions. Unmarried women depend on the patriarchs in their families.

But with this article, you can start your journey to become financially dependent without depending on anyone. Here are your options to grow your money by investing just ₹500 or even less every month.

Mutual Funds/ Smallcase SIPs

You can start a Systematic Investment Plan (SIP) for a mutual fund starting at ₹500 a month. Over a long period, this small amount will add up to form a large corpus. CA Vachhrajani says that SIPs have an advantage. “They make you a disciplined investor.”

She added that Smallcase is a wonderful initiative by Zerodha where you can invest in a basket of stocks based on an idea. For example, Zerodha’s Green Energy Smallcase mutual fund consists of all stocks that are associated with renewable energy, so if you think that the renewable form of energy is the future, this is a good option for you.

Recurring Deposits

Recurring Deposits (RDs) are among the popular investment options in India. If you do not want to take any risks, it is a safe option for you. CA Vachhrajani says it comes with an option of flexibility for customers in the choice of investment amount and tenure accompanied by multiple other benefits.

The tenure options vary from six months to a decade. Therefore, investors can pick up a minimum amount of as little as ₹100 (Investment Starting At ₹100) or ₹500 to invest every month for a fixed period and see their money grow.

Post Office Schemes

Many post office schemes start with a small amount. You can also open a Post Office Savings Account that will give you interest of 4% per annum. All it will take is ₹20, and a minimum balance of ₹50 has to be maintained in a non-cheque facility account.

CA Vachhrajani shared another option for a five-year Post Office Recurring Deposit Account, which offers returns at an interest of 6.9% per annum. You can start investing in it with as little as ₹10 per month.

She said a Post Office Time Deposit Account (TD) can be opened with a minimum amount of ₹200 and in its multiples. A National Savings Certificate (NSC) can be opened with a minimum of ₹100 and in its multiples.

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Atal Pension Yojana

CA Vachhrajani said Atal Pension Yojana (APY) is a universal social security scheme in which the subscribers receive a fixed minimum pension amount of ₹1,000 per month. Depending on their contributions, it can increase to ₹5,000 or even more.

This scheme allows you to start investing with less than ₹500 at an early age, and it would guarantee a pension amount of ₹5,000 a month after you turn 60.

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If you like this story, stay tuned to HerZindagi for more advice on investment.

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