3 Most Popular & Beneficial Investment Options for Retirement Corpus

The retirement corpus and the individual’s total income have become the most important criteria by which people determine the most beneficial investment options for retirement. Most of the time, pension plans in India are considered the most beneficial investment options for retirement corpus. Taking the help of a pension calculator would help you understand the amount you need to live comfortably after you stop working. Let’s discuss some of the apt investment options as per the current scenario. 

1. Pension Plans

Most people look at pension plans for retirement because they will be in place after their retirement. Pension plans in India have been one of the safest investment options for securing their later age with the comfort of stability. There are several pension plans for retirement out there, and you must be aware of what your options are so that you can make an informed decision as to where you would like to invest your money. The first thing you should do is speak with a financial advisor, who can help you learn about the different options you have and give you information regarding how they can benefit you.  

2. Mutual Funds

The second option, mutual funds, is quite popular among people of both age groups. People prefer this option due to the increased benefits it offers. And with mutual funds, you can invest on a large or small scale as it suits you, and you’ll get good results from it. There are several other advantages as well when it comes to mutual funds. Apart from being tax-free, these plans are easy to maintain. The most common problem people encounter with this option is that the corpus gets reduced due to the rising competition in the mutual fund industry. Thus, the returns tend to be low at times. Thus, it turns out to be highly recommended that you stay away from low-quality retirement plans like these and go for high-quality plans that will provide you with good returns over the long term. 

3. Stocks

One of the apt ways to get the best returns from your corpus of fixed deposits is to opt for the stock option. In general, all of the investment options are better than the stock option when it comes to the growth of the corpus and the returns after retirement. The basic reason behind this factor is that the stock is a product of commerce. Thus, the value will depreciate or increase depending upon the market trends. However, with the fixed deposits, you will be given a fixed rate of interest on the amount of money deposited. It gets imperative to note here that the returns will remain constant for the entire lifetime of the investment plan. 

The Final Say

So, what are the most beneficial options for retirement corpus? The answer to this question largely depends upon your situation and goals. Of course, it is always better to invest in pension plans since it offers excellent returns and relatively low risks. However, if you want to ensure that you have a steady income during retirement, it would be much better to use a mutual fund since it allows you to invest in several types of assets, and you can see the returns for yourself over time. This ensures that you never run short of cash during your retirement. Finally, you must seek professional advice to make the right investment decision.