New life to PPF,EPF & Govt bonds

[deepakraam]

After the entry of Mutual Funds to India,names like PPF,NSC,NSS have gone passe.They can't offer interest rates as like Mutual funds but still they are very good from an investment perspective.Currently,PPF have rejected the offer to invest in Govt Bonds for pension funds.But I could say PPF can start investing in Bonds and even they can also enter Equity.There are large no.of people who have withdrawn money from such accounts and have started investing in MFs.PPFs should start investing in MFs and Infrastructure bonds to increase the ROI for its investor.It can also reduce the timelines set as 6yrs for partial withdrawal and 15 yrs for complete withdrawal.No investor wants to lock funds for such a long time.Govt can reduce the period to 3yrs for partial withdrawal and 5-6 yrs for full withdrawal.They could slowly introduce the concept of dividends.

Wat do you say?


-Deepak.

 

[sachinkothari00707]

First of all I want to tell you that this my 100th entry. Today we have so many avenues in which an investor can invest his money & can earn a good return compare to Mutual Funds. But I will stick to the topic and I want to contribute that though Mutual Funds are offering high returns but one should take note of it that they are assuring you for the returns. Contrary to that NSC and PPF offer fixed rate of return. And it depends of investors financial position,age,sex etc. So one can not say blankly that Mutual Fund is Better or NSC is worse.