Exploring Options to Invest Small Sums of Money

Benefits of Investing Small Sums of MoneyEasy to make investment decisions

Know the functioning of various monetary processes

Accumulation of funds to invest in big-ticket items

Saving money to meet future uncertainties

Points to Remember Before Making Small

Investments1. How much you want to invest each month

2. How long you want to invest

3. How much return can you get on the investment

4. How much risk are you ready to take

Options to Invest Small Sums

Micro Loans

Stocks

Dividend Reinvestment Plan (DRIP)

Savings account

Term Deposit

Mutual Funds

The simplest and safest investment plan

Deposit funds at your own convenience

Choose from local, national and international banks

Low ROI in comparison to the riskier investment options

Savings Account

Funds are locked for certain number of days

Higher ROI in comparison to savings account

Track investment status from bank statements

Term Deposit

Mutual FundsSelect mutual funds based on investment portfolio

Higher ROI in comparison to savings account and term depositsBuy mutual funds directly from mutual fund companies

Avoid middlemen to invest full amount

Micro LoansOnly investment options to help the poor and underprivileged people

Low or No ROI on investmentChoose the organization by evaluating the developmental projects

Extent financial support by checking the entrepreneurship profile

StocksOptions to invest online or buy shares through stock brokers

Value of investment fluctuates based on stock market performanceQuick and high ROI

Higher level of risk quotient

Dividend Reinvestment Plan (DRIP)

Your dividends are automatically reinvestedEffective in multiplying your original investment

Fully automated investment processFunds can be transferred monthly from your bank account

How to Monitor Your Small Investments

Read your periodic bank statementsRegularly login to your share trading or mutual fund account

Track the performance of stock exchange indexCompare the ROI in individual investments

Diversifying the Total Investment

Learn the functioning of individual monetary processesCompare the returns received through each investment plan

Withdraw funds from investments with low ROIReinvest the funds in plans getting higher returns