KredX Blog KredX Blog
  • HOME
  • PRODUCTS
    logo

    FOR BUSINESS logo

    logo

    FOR INVESTORS logo

    Invoice Discounting

    Unlock money tied up in unpaid invoices

    KNOW MORE

    KredX Pay Later

    A closed loop financing for your dealers/distributors/Retailers

    KNOW MORE

    KredX Cash Management Solutions (CMS)

    Get real-time analytics. Manage disputes. Minimise risks. Get risk-free returns

    KNOW MORE

    KredX Global Trade

    Get Quick Finance To Fund Your Import-Export Requirements

    KNOW MORE

    Invoice Discounting

    Diversify your portfolio with alternative short-term investments

    KNOW MORE
  • PARTNER WITH US

    Business Partner Program

    Accelerate your client’s business growth and get attractive payouts on time

    KNOW MORE

    Financial Advisor Program

    Grow your credibility and clients’ investment portfolio

    KNOW MORE
  • KNOWLEDGE CENTER

    FAQs

    Blog

    Knowledge Base

    Webinars

    Reports

    WhitePapers

    Podcasts

  • COMPANY
  • LOGIN / SIGNUP
  1. Home
  2. Investor
  3. 7 Best Short-Term Investments In March 2021
 7 Best Short-Term Investments In March 2021
Investor Short-term Investments

7 Best Short-Term Investments In March 2021

by KredX Editorial Team March 23, 2021 0 Comment

The biggest USP of short-term investment options is its liquidity. As an investor, you do not have to wait for an extended period to redeem your investment units. 

However, your investment outcome depends on multiple factors, and your choice of investment plans is one of them.

Though selecting the most suited investment instruments should not be that challenging, the presence of multiple options tends to over complicate things.

Nevertheless, to provide the required momentum in your quest for the best short-term investment plans this March, here’s a list for you.

Take a quick look below to gain insights into a few popular investment options for the short-term in March 2021!

Top Investment Options For The Short-Term

These are among the most popular options where you can invest this March – 

  • Government And Corporate Bond 

These bonds are simply loans that the government or corporate bodies take out from the public. They offer fixed returns at a regular interval or on maturity. Since reputed entities back bonds, they expose investors to low risk levels. Based on maturity, bonds can be long-term, mid-term, or short-term investment options. They come with maturity periods ranging from 1 year to 5 years. 

  • Money Market Securities

Reputed financial institutions, government, and big corporations launch these securities to raise capital. Money market securities are counted among the top short-term investment avenues with a tenure of less than a year. 

  • Company Invoices

Invoice financing is rapidly becoming one of the most popular working capital solutions for small and medium businesses. As more entrepreneurs are inclining towards this financing scheme, the demand for such investors is also at its peak. This alternative means of investment allows individuals to invest in company invoices of businesses with high credit ratings. The entire investment process is carried out through the bill discounting or factoring platforms. These short-term investment options have historically offered returns anywhere between 12% and 20%, making them one of the most lucrative financing options.

  • Certificates Of Deposit

This savings account requires investors to invest a fixed sum of money for a given term. At maturity, investors can obtain back the invested amount along with interest. In general, a certificate of deposit comes with a maturity period ranging from 6 months to 5 years. You can invest in a CD whose maturity period matches your investment objective. 

  • Treasury Bills

These bills come with a maturity period that stretches up to a year. The government launches this short-term investment instrument at a discounted rate. However, note that the same is redeemed at face value. The USP of a treasury bill is its liquidity and the low-risk quotient.  

  • Liquid Funds 

They are a type of debt MFs, which come with a maturity period of 91 days. Liquid funds primarily invest in debt securities with a short maturity period and are considered the safest mutual funds across all categories. They generate higher returns when compared to traditional investment options like fixed deposit schemes.

  • Short Duration Fund

These funds invest majorly in debt and money market securities and come with a lock-in period ranging from 1 to 3 years. These funds come with a risk level relatively lower than long and medium duration funds. These funds are known for providing steady interest returns. If you decide to hold onto short duration funds for over 3 years, you can benefit from indexation on capital gains. It makes the fund more tax-efficient than fixed deposits. 

In case you are looking to park money for a short time, say a day or so, you may consider short-term investment options like overnight funds. However, it would help if you accounted for the accompanying risks before investing in any of these options. 

Bottom Line

You can find multiple short-term investment options in India performing exceptionally well this month. However, before making any decision purely based on the current performance, note, the best investment option may not be the most suited for your portfolio. So, to align your investment choice with your portfolio, weigh your risk profile and investment goals.

Share This:
Tags: bill discounting Certificates Of Deposit Government and corporate bond Investing investment investment options Invoice discounting Invoice Financing liquid funds Money market securities Short Duration Fund Short term investment options short term investment plans Treasury Bills working capital
Previous post
Next post

KredX Editorial Team (Website)

administrator

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Enquire now

  • Invalid value

  • Invalid value

  • Invalid value

The Best Of Alternative Investments, Now On Your Phone

Download App:

KredX Blog KredX Blog

Wing ‘A’, Ground Floor, Office-1 Block-‘A’, Salarpuria Softzone, Bellandur Village, Varthur Hobli, Bangalore South Taluk, Outer Ring Road, Bangalore – 560103

+1 212-602-9641

info@example.com

Get More Location

Follow us:

Download app:

Company

Home
About Us
Careers
Contact Us
Our Offices

Resources

Blog
Reports
Whitepapers
Knowledge Base
Podcasts
Webinars

Support

FAQs
Talk To Our Advisor
Chat With Us
Sign Up
Login

Legal

Nodal Officer Name: Amrutha A / Ph: 08061799200, IVR-9 / Email: Amrutha@Kredx.Com
Terms And Conditions
Privacy Policy

Investor Products

Invoice Discounting
Bonds
Digital Gold/Silver
KredX Assured

Business Products

Invoice Discounting
Buy Now Pay Later
KredX Cash Management Solutions
KredX Global Trade

Quick Links

Business Partner Program
Financial Advisor Program
Business Suite
©2022 Minions Ventures Pvt Ltd