Switzerland is renowned as a major global financial center, with Swiss banks famous for their strong privacy and strict confidentiality laws. These banks attract individuals and companies worldwide who value security and discretion for their wealth. But many people don’t know how to open a Swiss Bank Account.
In this blog, we will explain to you the procedure to open a Swiss Bank account.
What is a Swiss Bank Account?
A Swiss Bank is a financial institution situated in Switzerland, and is known for its privacy, strict laws, and secrecy. Accounts in these banks are generally opened by the person who seeks confidentiality and security. The Swiss Bank Law of 1934 states that it is a criminal offence for a bank to declare the details of a client to any other entity or person.
A Swiss bank is a global bank known for its exceptional security and secrecy. According to the Swiss Banking Law of 1934, it is illegal for a Swiss bank to reveal the identity of its account holders. However, Swiss banks did lose some transparency as a result of pressure from other countries. In addition to this, Swiss Bank complies with global banking and anti-money laundering laws. Hence, in the recent past, they are refusing to take on customers who are unable to show sufficient evidence of their wealth or income.
Types of Swiss Bank Accounts
The various types of Swiss Bank accounts are as follows:
Personal Account: This account is opened by an individual for their personal use and doing daily transactions. It generally includes savings and a current account. One can receive salary and other incomes in this account and make payments of bills, etc., using this account.
Business Account: This account is opened by companies and is generally used for holding investments or to conduct day to day transactions. This account offers a special kind of service, such as trade finance, treasury management, etc.
Numbered Account: In this type of account, the account holder’s name is replaced by a number to enhance privacy, and only a few senior bank officials know the true identity of the holder. However, Swiss law requires the bank to maintain proper identification records, and the holder’s details can be disclosed to authorities in cases involving tax treaties or legal investigations.
Custody Account: This account is generally opened by the individual to manage their investments, such as stocks, bonds, mutual funds, etc. They can either manage them directly or with the help of a wealth manager. This account is also known as an investment account.
Dormant Account: If this account remains inactive for more than 10 years, then the funds will be transferred to the Swiss state.
How to Open an Account in a Swiss Bank?
To open a Swiss Bank account, one can follow the steps mentioned below:
Type of Account: The first step is to identify the type of account which you want to open. As we have already mentioned, there are various types of accounts, like a personal account, a numbered account, etc.
Selecting the Bank: Various Swiss banks offer the service of opening a bank account, like UBS Group, Julius Baer, etc. One should choose a bank based on the services and charges of the bank.
Arranging Documents: Various types of documents are required to open a Swiss Bank account. The documents include a passport, address proof, source of funds, etc.
Application: Once the documents are arranged successfully, submit an application to open a Swiss bank account along with the supporting documents.
Verification: The Swiss bank officials review the documents and upon successful verification, your account is opened.
Deposit: Once the process is completed, the initial amount can be deposited into the bank account.
The key features of a Swiss Bank Account are as follows:
1. Privacy: An account in a Swiss Bank offers confidentiality and secrecy to its customers.
2. Stability: Switzerland has a history of political and economic stability and has a well-regulated banking system.
3. Investment Options: Swiss Bank offers its customers various investment options along with banking.
4. Minimum Deposit: An account in a Swiss Bank can be opened with a minimum deposit of a few thousand dollars; however, this amount varies across different banks and depends on the type of account you want to open.
There are significant advantages to opening a Swiss bank account:
Privacy: Having a bank account in a Swiss Bank provides a high level of security, as Swiss banks are famous for maintaining strict confidentiality.
Banking Services: Swiss Bank offers a wide range of services to its customers and are known for their personalised banking services.
International Reputation: Switzerland as a country is well known for its regulatory standards and has a well-regulated financial system.
Advisory Services: Swiss Bank also offers tailored investment advisory services, portfolio management services to its customers.
Disadvantages of a Swiss Bank Account
The various disadvantages of having a Swiss Bank account are as follows:
Minimum Balance: One is required to maintain a minimum balance in their Swiss Bank account, which can be between a few thousand dollars to a few million dollars, making it unsuitable for individuals with a low income.
Limited Privacy: Now, with the change in international treaties, the Swiss Banks’ privacy standards have been lowered over time.
Low Interest Rate: Swiss Bank offers a low interest rate on the deposits made by customers.
Annual Maintenance Fee: The bank charges high annual maintenance fees from its customers, whether they use banking facilities or not.
On a concluding note, Swiss Bank accounts offer a high level of privacy to their customers as no one can access the data of their customers. As per the law, it is a criminal offence for banks to disclose their customers’ information. But in the recent past, due to international treaties, the Swiss banks did share the details of the customer with the respective authorities. Hence, the privacy usually associated with having a bank account in a Swiss bank has decreased a little over the past few years. One must consult their tax advisor before opening a Swiss Bank account.
S.NO.
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Yes, a Non-Resident Individual can open a Swiss Bank account.
Is it legal to open a Swiss Bank account?
Yes, it is legal to open a Swiss Bank Account; however, it is essential to follow all the regulatory guidelines laid down by the concerned authorities, such as the RBI, etc.
Do I need to travel to Switzerland to get the Swiss Bank account opened?
While initial applications may start online, almost all Swiss banks require in-person or video verification, and extensive documentation for source of funds.
What are the types of Swiss Bank accounts?
The various types of Swiss Bank accounts are as personal or current account, savings account, numbered account, etc.
Does the Swiss Bank pay interest?
Yes, the Swiss bank pays interest. However, the interest rate depends on the type of bank account.
What is the Swiss bank account opening minimum balance?
The Swiss Bank account opening minimum balance differs from bank to bank and it can vary from a few thousand dollars to millions of dollars.
You most likely picture opportunity, wealth, and perhaps even a little thrill when you think of the Indian stock market. While the market has indeed offered investors incredible growth opportunities over the decades, it also has a darker side, marked by major frauds driven by greed, flaws, and a lack of oversight.
This blog will examine five of the largest stock market scams in India, the kind that shook the country’s financial markets, destroyed savings, and significantly altered people’s perspective on investing.
Understanding Stock Market Scams
A stock market scam is an event when someone manipulates the system to make a significant profit, generally at the expense of common investors. It might involve manipulating the financial statements, driving up share prices and selling them off , or using insider information to get an advantage.
Let us move on to the next part: the largest stock market frauds that India has ever witnessed.
List of Major Stock Market Scams – Timeline
SCAM
TIMELINE
The Harshad Mehta Scam
1992
The Ketan Parekh Scam
2001
Satyam Scam
2009
NSEL Scam
2013
Karvy Scam
2019
Overview of Biggest Stock Market Scams
1. The Harshad Mehta Scam
Harshad Mehta was a stock market tycoon in the 1980s. Known as the “Big Bull,” he illegally obtained about ₹3,500 crore from banks using a network of fake bank receipts and fraudulent transactions, and then invested this money to manipulate stock prices. He made huge profits by driving up stock prices with the money, but everything fell apart in 1992.
The Sensex crashed when the scam was exposed, costing thousands of investors their hard-earned money. The shock was so profound that it forever changed the financial landscape of India. Regulations became stricter, and SEBI, the market regulator, gained more authority. You have most likely seen the well-known television show Scam 1992 if this story sounds familiar. Indeed, the series is based on real-life events.
A few years later, Ketan Parekh, a chartered accountant who later became a market manipulator, enters the picture. He was drawn to a variety of small-cap stocks, primarily in the media and technology sectors; these became known as “K-10 stocks.” To increase prices, Ketan borrowed large sums of money from banks and engaged in circular trading, which is the practice of buying and selling among friends to create demand. He made lots of money by selling his shares when prices were at their highest.
However, the bubble popped as usual at a time when India’s technological innovation boom was beginning to gain momentum. The scam, which was valued at over ₹40,000 crore, shook investor confidence and caused another market crash. One more example of how hype of investing in popular stocks that seems too good to be true can backfire.
3. The Satyam Scam
This one focused more on the implications of a company lying about its financial statements than it did on the stock market itself.
The well-known IT company Satyam Computers had been falsifying its financial statements for years. Ramalinga Raju, the founder, acknowledged inflating cash balances and profits by ₹7,000 crore.
The company showed fake numbers for years in an attempt to lure in investors while keeping a high stock price. It is one of the largest corporate scams India had ever witnessed, and once the truth was revealed Satyam’s share price collapsed.
In an instant move, the government brought in Tech Mahindra to take control and cleaned up the mess. India’s corporate governance regulations were also strengthened as a result of this controversy, making it more difficult, though not impossible, to repeat such behaviour.
The National Spot Exchange Limited (NSEL) scam included fraudulent commodity trades and questionable claims of large profits.
NSEL provided a trading platform for commodities such as grains, sugar, and so forth. However, it quickly became apparent that the trades were largely fraudulent and that no actual goods were being used to support them. The brokers misled investors by promising them fixed returns. When it came time for payouts, investors lost both their money and the underlying asset they had invested in.
A total of ₹5,600 crore was lost by about 13,000 investors. The fraud revealed major shortcomings in the regulations governing commodity markets. SEBI and other organisations were forced to intervene and implement more stringent regulations as a result.
5. The Karvy Scam
The reason this scam was so shocking was that Karvy was a well-known name in stock broking. Karvy was using client shares without authorization. They were pledging these shares to raise loans and make investments somewhere else, rather than simply transferring shares to the investor’s demat account. This violated both SEBI’s regulations and fundamental morality, which resulted in a loss of ₹2,000 crore to investors.
In a swift move, SEBI tightened rules on how brokers handle investor funds and shares and prohibited Karvy from onboarding new customers. This scam served as a warning to common investors that not all well-known companies can be blindly trusted.
Evolution of Regulatory Bodies
The evolution of the regulatory environment concerning stock market has been evaluated below:
1. Technology-Driven Monitoring System
These days, stock exchanges and regulators use advanced technology to keep an eye on market activity in real time. Automated systems are in place to identify suspicious trading patterns, such as unusual volumes or a sharp increase in the stock price. These warnings can immediately lead to additional investigations.
For instance, these systems quickly pick up on attempts to manipulate a stock through repeated buy-sell activity or circular trading. Additionally, it is now more difficult to create multiple or fraudulent accounts due to stricter KYC (Know Your Customer) regulations and PAN-based authentication.
2. The Role of Media and Whistleblowers
The media plays an important role in bringing shady practices to light. They helped in identifying warning signs before things got out of control, whether through newspapers, online news sources, or even social media accounts dedicated to financial transparency.
Whistleblowers are employees who disclose unethical activity. Over the years, scams have been exposed because insiders came forward. Now that SEBI has a formal whistleblower policy, informants are protected and more people are encouraged to come forward.
It’s crucial for investors to differentiate fact from fiction because the media occasionally exaggerates news, which can lead to panic or unnecessary speculation.
However, there are still some gaps in the system, even with stricter regulations and technological assistance, and scammers always come up with innovative ways to get around it.
For example:
There are still occasional stories of company officials engaging in insider trading.
It is unlawful for certain smaller, unregistered advisory firms to make promises of guaranteed returns.
Fake websites or fake trading apps imitate authentic ones in order to deceive investors of their money or personal information.
Additionally, there is an increase in services offering stock market tips from claimed experts who use false screenshots and success stories to confuse unaware retail investors.
Conclusion
Even though scams discussed above may appear to be something of the past, fresh versions continue to appear in various forms. The risks haven’t disappeared—they’ve simply changed, whether it’s through sceptical YouTube suggestions, anonymous Telegram groups, or social media hype.
Ultimately, successful investing requires common sense, research, and patience. If something appears unusual, it most likely is. The best course of action is to remain cautious, curious, and never stop learning. It is advised to consult a financial advisor before investing.
S.NO.
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If someone pushes you to “act fast,” hypes up penny stocks, or promises huge profits quickly, it can be considered a risky investment or even fraudulent tip.
How did SEBI respond to these significant frauds?
With more regulations, more intelligent tracking systems, and stricter control of advisors, firms, and brokers, SEBI became more stringent.
Can my demat account be tampered with by my broker?
There are regulations to prevent them from doing so. However, as demonstrated in the Karvy scam, it is still wise to monitor your portfolio on a regular basis.
What should I do if I suspect a scam?
Do not panic. You can speak with your broker’s compliance team or report it to SEBI via their SCORES portal.
We have all heard the saying, “Health is wealth.” However, the cost of medical treatments has risen rapidly in recent years. In such a situation, having a good health insurance plan acts as a financial safety net for families. Just having a policy is not enough — it is important to choose the right policy that truly helps at the time of need.
This blog compares the best health insurance policies in India, so that it is easy to understand which plan is the best among the existing options.
What is Health Insurance?
Health insurance is an insurance coverage that covers the costs associated with health treatment by the insurance company. It includes expenses such as hospitalization, operations, medicines, diagnostic tests, and sometimes even home care. The policyholder pays a fixed premium to keep the policy active and these expenses can be reimbursed through a claim if needed.
In today’s time when treatment of every disease can become a burden on the pocket, health insurance has become an essential safety net. Especially when many insurance companies are now also offering facilities like digital claim process, cashless treatment and customized plans. Along with this, the benefit of tax saving is also available, which makes it a practical and important investment.
Top 10 Best Health Insurance Plans in India (2025)
An overview of the best health insurance plans in India is given below:
1. HDFC ERGO Optima Restore
HDFC ERGO Optima Restore is a popular health insurance plan specially designed for individuals and family floater option. This plan is known for its “Restore Benefit” wherein if the sum insured is exhausted, it is automatically restored without any additional premium. Even in 2025, this plan is very popular among the customers due to its high claim settlement ratio and wide network of hospitals.
Key Features:
Sum Insured: ₹5 lakh to ₹50 lakh
100% restoration after first claim (once per year), with unlimited restore benefit available as optional add-on
Pre-Hospitalization: 60 days
Post-Hospitalization:180 days
No room rent limit (private single AC room covered)
Cashless treatment at 12,000+ hospitals
Lifelong renewability
Key Benefits :
Protection remains even after medical expenses are covered
Coverage for large families in a single policy
Long pre and post hospitalization cover
No room rent cap better treatment facility
Tax benefits available under section 80D
2. Niva Bupa Health Companion
Niva Bupa’s Health Companion plan is a simple yet effective health insurance policy, especially suitable for young couples and nuclear families. Its premium is affordable, and it has many features that make it a useful option for everyday health needs.
Key Features:
Sum Insured: ₹3 lakh to ₹1 crore
Waiting Period or Pre-Existing Disease (PED): 3 years
Pre-Hospitalization: 60 days
Post-Hospitalization: 180 days
No room rent capping
Cashless facility in 10,000+ network hospitals
Direct claim settlement – no TPA involved
Annual health check-up included
Key Benefits :
Complete coverage without any room rent limit
Fast and transparent claim process
Health check-up facility every year
Single policy for all family members
Tax exemption as well as peace of mind
3. Star Health Comprehensive Insurance :
Star Health’s Comprehensive Plan is specially designed for those who have long-term health problems or who are senior citizens. This policy has a low initial waiting period and many critical illnesses are covered from the first year itself. Its acceptance and claim settlement ratio in 2025 has been very strong in the market.
Key Features:
Sum Insured: ₹5 lakh to ₹1 crore
Pre-Hospitalization: 60 days
Post-Hospitalization: 90 days
PED Waiting Period 1 to 2 years (as per insured age)
Daycare treatments: 600+
No capping on disease-wise limits
Lifelong renewability
Free annual health check-up
Key Benefits :
Suitable for senior citizens and critically ill
Easy access to PED coverage
Coverage of multiple day-care treatments
Treatment without sub-limit
Fast and reliable claim settlement
4. Care Health Insurance
This plan from Care Health Insurance (formerly known as Religare) is perfect for those who want a high coverage, flexible and customizable policy for their entire family. This policy in 2025 is quite popular due to its comprehensive coverage and global health option. Add-ons like OPD, maternity and critical illness can also be added to it.
Key Features :
Sum Insured: ₹3 lakh to ₹6 crore
Pre-Hospitalization: 30 days
Post-Hospitalization: 60 days
PED Waiting Period: 4 years
Global treatment add-on available
No upper age limit for entry
21,100+ network hospitals
Annual health check-up included
Key Benefits:
Suitable for large families or those looking for high coverage
Global coverage for advanced treatment
Can buy policy at any age without any age limit
Highest number of network hospitals
Many options to customize as per your need
5. ICICI Lombard Health AdvantEdge
ICICI Lombard’s Health AdvantEdge Plan is a high-end health insurance policy suitable for those looking for global coverage, critical illness protection, and advanced medical facilities. This plan is quite popular in 2025 due to its unlimited sum restore, OPD coverage, and wellness benefits.
Key Features:
Sum Insured: ₹5 lakh to ₹50 lakh
Unlimited Sum Insured Restoration (multiple times/year)
Pre-Hospitalization: 60 days
Post-Hospitalization: 180 days
Global healthcare coverage (optional add-on)
OPD, wellness, mental health coverage included
PED Waiting Period: 2 years
Cashless access to 11,000+ hospitals
Key Benefits:
Perfect for critical illnesses or high-cost treatments
Sum restored even if you make multiple claims in a year
OPD and wellness features care for the whole family
Advanced coverage like mental health and global treatments
Fast and paperless claim process
6. Aditya Birla Activ Health Platinum
Aditya Birla’s Activ Health Platinum plan is a health insurance that is not just limited to treatment, but also promotes fitness and prevention. In 2025, this policy is a better option especially for those who are suffering from chronic conditions like diabetes, high BP or follow a healthy lifestyle and want to get rewards in return.
Key Features:
Sum Insured: ₹2 lakh to ₹2 crore
Chronic Management Program for diabetes, hypertension
HealthReturns reward points for fitness activities
Pre-Hospitalization: 60 days
Post-Hospitalization: 180 days
Daycare procedures: 586+
PED Waiting Period: 2–3 years
Annual health check-up for all members
Key Benefits:
Rewards and premium discounts for staying healthy
Chronic Disease Management Program prevention before treatment
Long pre and post hospitalization cover
A plan designed with both family protection and fitness incentives in mind.
Improvement in lifestyle health along with tax benefits
7. Tata AIG MediCare Premier
Tata AIG MediCare Premier is a comprehensive health insurance plan suitable for those who want treatment coverage not only in India but also abroad. The popularity of this policy in 2025 has increased because it also offers facilities like global coverage, organ donor cover, maternity benefits and air ambulance – that too without any room rent limit.
Key Features:
Sum Insured: ₹5 lakh to ₹3 crore
Global cover for 11 critical illnesses (selected plans)
Pre-Hospitalization: 60 days
Post-Hospitalization: 90 days
Maternity & newborn baby cover included
Organ donor expenses covered
No room rent restriction (private AC room)
PED Waiting Period: 3 years
Cashless facility in 7,200+ network hospitals
Key Benefits:
Treatment facility abroad for 11 critical illnesses
Coverage on pregnancy and childbirth too
No room rent limit no compromise in treatment
Premium facilities like air ambulance and donor cover
Suitable for high net worth individuals and travelers
8. Reliance Health Infinity
Reliance Health Infinity is a modern and advanced health insurance plan that offers all kinds of facilities from OPD to air ambulance and maternity. In 2025, this plan is being liked a lot among those users who want their insurance to be not just limited to hospitalization but also cover day-to-day health expenses.
Key Features:
Sum Insured: ₹5 lakh to ₹5 crore
OPD cover & unlimited doctor consultations (optional)
Air ambulance cover included
Pre-Hospitalization: 60 days
Post-Hospitalization: 90 days
PED Waiting Period: 3 years
Recharge of Sum Insured (up to 5 times/year)
Global emergency cover available (optional)
Wellness benefits & reward points
Key Benefits:
Daily health expenses like OPD and medicines also covered
Facility of Air Ambulance and Emergency Global Coverage
Facility of Sum Insured Recharge – Cover remains even after claim
Rewards on fitness and wellness activities
Ideal plan for high coverage and custom add-on options
9. Bajaj Allianz Health Guard
Bajaj Allianz Health Guard is a simple, affordable and reliable health insurance plan designed to provide financial protection in case of medical emergencies. The plan is available in both individual and family options and is known for its fast claim processing and customer support in 2025.
Key Features:
Sum Insured: ₹1.5 lakh to ₹50 lakh
Pre-Hospitalization: 60 days
Post-Hospitalization: 90 days
PED Waiting Period: 4 years
Daycare procedures: 500+
Free preventive health check-up every 3 years
Ambulance cover up to ₹20,000/year
Maternity and newborn cover (optional)
8,000+ network hospitals
Key Benefits:
Suitable for small families and mid-income group
Preventive health check-ups promote long-term health care.
Fast and paperless claim settlement
Option of good coverage while staying within budget
Optional maternity benefits ideal for those planning a family
10. ManipalCigna ProHealth Prime
ManipalCigna ProHealth Prime is a modern and innovative health insurance plan designed specifically for tech-savvy users and those who like custom features. This policy comes with a “Switch Off” feature, which allows you to save premiums for the period when you are abroad or when you do not need coverage. This plan in 2025 is in the news due to its flexibility and digital friendly features.
Key Features:
Sum Insured: ₹2.5 lakh to ₹1 crore
Switch Off feature can temporarily pause the policy
Unlimited Restoration of Sum Insured
Pre-Hospitalization: 60 days
Post-Hospitalization: 180 days
OPD & non-medical expenses covered (with add-on)
PED Waiting Period: 2 years
Preventive health check-ups included
Key Benefits:
Best option for tech-savvy and traveler customers
Can save premium by “switching off” the coverage when not needed
Provides coverage for OPD and certain non-medical expenses as well.
Unlimited Restoration coverage remains even on repeated claims
Key Factors to Consider Before Buying a Health Insurance Plan
Some of the key factors to consider before buying a Health Insurance plan are listed below:
What should be the sum insured : Considering the rising cost of treatment, coverage of ₹10 lakh or more has become a necessity today. A high sum insured plan is better for people living in big cities and private hospitals.
Cashless hospital network : It is more beneficial to choose a plan that has more network hospitals, especially in your city. This makes the claim process easier and faster.
Claim settlement ratio : The reliability of any health insurance depends on its claim settlement history. Choosing a health insurance plan with a claim settlement ratio of 95% or above is a safe option.
Pre-existing disease cover and waiting period : If you already have a pre-existing disease, check how long the plan requires you to wait before it covers it. A plan with a shorter waiting period is always better.
NCB, Room Rent Limit and Add-on Benefits : No Claim Bonus (NCB) increases the coverage every year. On the other hand, a plan without a room rent limit is more flexible. Also look for add-ons like maternity, OPD and health checkup.
How to Choose the Right Health Insurance Policy for You?
An individual should consider the below mentioned factors to choose the right health insurance policy:
Consider age and family size : If you are under 30 and don’t have any critical illness in your family history, you can start with a basic plan with lower premiums. But families with children or elderly should choose a floater policy with higher coverage and a shorter waiting period.
Use online comparison and IRDAI data: The IRDAI website provides claim settlement ratio and other information for policies. Also, online comparison tools make it easier to take a decision by looking at premiums, benefits and network hospitals together.
Understand add-ons as per your need: If OPD expenses are high, look for OPD cover. Advanced benefits like critical illness or global treatment also depend on the user’s needs.
Common Mistakes to Avoid While Buying Health Insurance
Some of the common mistakes to avoid while buying health insurance are given below:
Ignoring the waiting period : Most people forget that not all diseases are covered immediately after taking the policy. There is usually a waiting period of 2 to 4 years for pre-existing diseases, which is important to understand beforehand.
Buying a policy with low sum insured : Many times people buy policies with very low coverage to save premium. But today, a sum insured of at least ₹10 lakh has become a basic necessity.
Not paying attention to co-pay and sub-limits : In some policies, the policyholder has to pay a part of the hospital bill himself (co-payment). Similarly, there may be sub-limits on room rent or illness expenses, which become a problem later.
Buying only for tax saving : If health insurance is taken only for the tax benefit of Section 80D, then essential coverage and facilities may be missed. Always choose the policy as per your need and health history.
With medical expenses constantly rising, the right health insurance policy is not just a necessity but a wise decision. Every individual has different needs, some need a family floater, while others may need chronic disease cover. Therefore, it is important to keep in mind the features, claim history and add-on benefits while choosing a policy. The right plan not only takes care of the medical expenses but also gives peace of mind. It is wise to plan today so that any health emergency does not become a financial burden tomorrow.
S.NO.
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Which is the best health insurance policy in India in 2025?
HDFC ERGO Optima Restore and Niva Bupa Health Companion are the top choices in 2025. However, the ideal plan ultimately depends on an individual’s specific needs and circumstances.
Which medical insurance is best for the family?
Care Health Insurance and Star Health Comprehensive plans are good for families.
What is a good sum insured amount in 2025?
A sum insured of ₹10 lakh or more is considered better in today’s times.
How long is the waiting period for pre-existing diseases?
Most plans have a waiting period of 2 to 4 years.
Can I buy health insurance online in India?
Yes, almost all major insurance companies offer the facility to buy health insurance online.
To choose the right stock in the share market, it is very important to understand the financial health of the company. Two important ratios ROE (Return on Equity) and ROCE (Return on Capital Employed) help a lot in this. Both these metrics show how profitably the company is using its capital.
It is important for today’s investors to know the true meaning of ROCE and ROE in the share market, how they are different and how to use them.
What is ROE?
ROE, i.e. Return on Equity, tells how much profit the company is making from its shareholders’ money. It is calculated using this formula:
Formula : ROE = Net Profit ÷ Shareholders Equity × 100
If a company has a high ROE, it means that it is using its investors’ capital well. Generally, an ROE of 15% or above is considered good. ROE matters more in sectors where capital requirement is less like technology and finance industry.
Example: Suppose a company has a net profit of ₹50 crore and shareholders equity is ₹250 crore,
Then, ROE = (50 ÷ 250) × 100 = 20%
This means the company is earning a profit of ₹20 on every ₹100 of capital invested by shareholders. So, ROE is an important metric, especially when it comes to long term investing.
What is ROCE?
ROCE stands for Return on Capital Employed. ROCE shows how much a company has earned using its total capital resources (i.e. equity + debt). This metric is especially important for capital intensive companies that rely on both debt and shareholder’s equity to earn profits.
Formula : ROCE = (EBIT ÷ Capital Employed) × 100
where, EBIT = Earnings Before Interest and Taxes.
Example : If a company has EBIT of ₹60 crores and total capital of ₹300 crores, then ROCE will be 20%.
ROCE = (60÷300) × 100 = 20%
Meaning, the company is earning ₹20 from every ₹100 of total capital, indicating its strong financial performance.
ROE vs ROCE : Key Differences
Parameter
ROE (Return on Equity)
ROCE (Return on Capital Employed)
Objective
Measures the return generated on shareholders’ equity
Measures the return generated on total capital employed (equity + debt)
Formula
Net Profit ÷ Shareholders’ Equity × 100
EBIT ÷ (Equity + Debt) × 100
Capital Considered
Only shareholders’ equity
Both shareholders’ equity and borrowed capital (debt)
What It Indicates
How efficiently a company generates profit using owners’ funds
How efficiently a company uses all available capital to generate operating profits
Impact of Debt
High debt can artificially inflate ROE
Debt is included, so it reflects a more accurate financial performance
Best for Sectors
Asset-light sectors like IT and Banking
Capital-intensive sectors like Manufacturing, Infrastructure, Oil & Gas
Reliability
Less reliable in highly leveraged companies
More transparent and reliable across different capital structures
Long-Term Perspective
Can sometimes show better short-term returns
Better suited for long-term performance evaluation, especially for companies with debt
Which Ratio Is Better for Investors?
Let us look at practical applications of these ratios.
1. When is ROE more useful?
ROE matters the most when the company has little or no debt, such as in IT or finance companies. In such cases, this ratio shows how well the company is earning returns on its shareholders’ capital.
2. When is ROCE more reliable?
If the company is in a capital-intensive sector, such as manufacturing, power or infrastructure, ROCE gives a more accurate picture. Because this ratio takes into account both debt and equity and tells how much profit the company is earning from the total capital.
3. Impact of debt on both ratios?
Sometimes ROE looks very good, but the reason for that might be the company’s high debt. ROCE clears this confusion because it also includes debt while calculating returns, which gives an idea of the real efficiency.
4. Why look at both together?
If you are thinking of long term investment, then both ROE and ROCE should be looked at together. ROE shows how much profit the shareholders are getting, while ROCE gives an understanding of how efficiently the company has used all its resources.
Practical Example : Comparing Two Companies
Example: Company A vs Company B – Comparison of ROE and ROCE
Financial Data (₹ in Crores)
Parameter
Company A
Company B
Shareholders’ Equity
₹80 Cr
₹140 Cr
Long-Term Debt
₹120 Cr
₹220 Cr
Capital Employed
₹200 Cr
₹360 Cr
Income Statement Highlights (₹ in Crores) :
Income Statement
Company A
Company B
EBIT
₹50 Cr
₹70 Cr
Interest Expense
₹12 Cr
₹30 Cr
PBT
₹38 Cr
₹40 Cr
Tax
₹8 Cr
₹10 Cr
Net Profit
₹30 Cr
₹30 Cr
ROE = (Net Profit ÷ Shareholders’ Equity ) X 100
Company A: ROE = (30 ÷ 80)X 100 = 37.5%
Company B: ROE = (30 ÷ 140) X 100 = 21.4%
ROCE = (EBIT ÷ Capital Employed ) X 100
Company A ROCE = (50 ÷ 200)X 100 = 25%
Company B ROCE = (70 ÷ 360) X 100 = 19.4%
Company A has a total capital of ₹200 crore (equity of ₹80 crore and loan of ₹120 crore). With this capital, the company earned a great return of 37.5% ROE and 25% ROCE.
Company B has a total capital of ₹360 crore, with equity of ₹140 crore and loan of ₹220 crore, but even then its ROE was only 21.4% and ROCE was 19.4%.
This comparison clearly shows that:
Company A earned more returns with less capital – meaning its business is more effective and capital-efficient.
Company B did not show the same efficiency even after investing more money, meaning the use of capital was not that effective.
Bottom line: Just having a lot of capital is not enough; what matters is how wisely that capital is used.
Common Mistakes to Avoid
Some of the common mistakes to avoid while analysing equities using ROCE and ROE are listed below:
Investing just by looking at high ROE : High ROE is not always a good sign. Many times companies take huge loans to show high ROE, which hides the real profitability. That is why it is important to look at ROCE and debt level along with ROE.
Ignoring ROCE, especially in capital-intensive sectors : In companies that invest heavily in assets (such as steel, infrastructure or manufacturing), ROCE matters more. Ignoring it means ignoring the actual efficiency of the company in generating profits.
Looking at data of only one year : Taking a decision by looking at only one year’s ROE or ROCE numbers can be a big mistake. One should always look at trends of 3–5 years to get an idea of consistency and sustainability.
Not comparing with industry average : Every company belongs to a specific industry with some unique characteristics. Technology companies are usually capital-light, while utilities or infrastructure firms require substantial investment. It is important to compare ROE and ROCE with the sector average.
Immediately considering low ROE as negative : Some mature and steady companies may have low ROE, but they give consistent dividends and stable cash flow. In such a situation, do not take investment decisions just by looking at the numbers, also look at the business model and long-term performance.
Conclusion
Both ROCE and ROE show the company’s earning capacity from different perspectives. ROE tells how much return the company is earning from shareholders’ capital, while ROCE shows the returns earned by utilization of the entire capital. It is not right to take a decision by looking at only one ratio. Smart investors identify the real strength of the company by looking at both together. It is essential to consult a financial advisor before investing.
S.NO.
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Over the past few quarters, the inflation rate has been consistently declining, due to which there has definitely been relief for the general public, but salaries are stagnant and expenses on luxury items are constantly increasing. At such a time, it is not right to solely depend on one income. This is the reason why people are now looking for side income sources.
In this blog, we will tell you 20 effective and easy ways to earn extra income, which everyone can start along with their job or studies.
Top 20 Side Income Sources
Everyone’s financial objectives and skill sets are different, so here we have divided 20 income ideas into four different categories – so that you can choose the right option for you. Some side income ideas are entirely online, others cater to creative talents, a few involve financial investments, and several can be pursued on weekends or during your free time.
Detailed Breakdown: 20 Side Income Ideas You Can Start Today
A detailed breakdown of 20 side income ideas is given below:
1. Freelancing
In today’s digital era, freelancing is a great way to earn extra money from your skills. If you have any skill like writing, designing, coding or video editing, then you can make good money by working part-time for clients.
How to start: Create a profile on websites like Fiverr, Upwork, Freelancer, prepare a portfolio of past work, and start with small projects.
Who is best for: Students, job professionals, housewives and people who want to use extra time properly.
2. Online Tutoring or Selling Courses
If you have a strong hold on a subject like Maths, English, Coding or Finance then you can teach others online or create a self-paced course.
How to start: Take classes from Zoom or Google Meet, or create and upload your course on platforms like Udemy, Unacademy.
Who is better for: Teachers, students, working professionals and subject experts.
3. Blogging or YouTube Channel
If you like writing or making videos, then by starting a blog or YouTube channel can help you gradually earn income from brand collaborations, ads and affiliates.
How to start: Create blogs on WordPress or start making videos by choosing a niche on YouTube.
Who is better for: Creative thinkers, students, part-time contributors.
4. Affiliate Marketing
Affiliate marketing is a method in which you share the link of a product or service and if someone makes a purchase through your link, you get a commission.
How to start: Join affiliate programs of platforms like Amazon, Flipkart, Zerodha, and share links through blog or social media.
Who is it best for: Bloggers, YouTubers, content creators and digital marketers.
5. Digital Products
If you can create something like resume templates, budgeting sheets, planners or mini eBooks then you can earn passive income without repeated effort.
How to start: Create products with tools like Canva, Notion and upload them on platforms like Gumroad, Payhip.
Who is it best for: Designers, students, writers and creatives.
6. Stock Photography
If you have good photography skills, you can sell your photos on websites like Shutterstock, Adobe Stock and get royalty.
How can you earn: Depends on the quality of the photos and the number of downloads.
How to start: Choose your best quality photos and upload them on stock photo platforms.
Best for: Hobby photographers, travelers and visual content creators.
7. Handmade Crafts / Instagram Store
If you make things like candles, jewelry, art pieces or home decor, you can open your shop on Instagram.
How can you earn: Depends on the uniqueness, pricing and marketing of your products.
How to start: Create a professional page on Instagram, showcase products with good visuals and captions.
Best for: Housewives, artists, students with creative minds.
8. Voiceover or Podcasting
If you have a strong voice and can speak well, voiceover projects or podcasting can also make a strong side income.
How to start: Get a microphone and recording setup, and get started on freelancing sites or platforms like YouTube and Spotify.
Best for: Communicators, speakers, storytellers.
9. Art, Dance or Music Classes
If you are skilled in any art like singing, playing, painting or dancing – then you can generate extra income by taking classes on weekends.
How to start: Add students through word of mouth, local WhatsApp groups or Instagram.
Best for: Artists, hobbyists, homemakers.
10. Making Instagram Reels / YouTube Shorts
Short videos are quite popular these days. You can increase your followers by creating innovative content and can attract brand deals or sponsorships.
How to start: Create content on trending topics, post regularly, and use hashtags correctly.
Who is it best for: Gen-Z, creative people, students, and influencers.
11. Stock Market
Investing in good stocks can provide regular income in the form of dividends over time. Some people also make profits from short-term trading, but it requires proper knowledge and some practice.
Who is best for: Working professionals, students and people interested in finance.
12. Real Estate Rental Income
A stable income source can be created by renting out properties like flat, shop or office. This income can be quite good in metro cities.
How to start: List your house or shop on a platform like MagicBricks, 99acres to contact a good tenant.
Who is best for: Those who have property or space to rent out.
13. Mutual Funds / SIP
Investing a small amount every month through SIP can give good returns in the long term. This income is completely based on the market, but the risk is also balanced.
How to start: Create an account on apps like Groww, Paytm Money or Zerodha Coin and start SIP by selecting a fund.
Who is better for: Employed people, beginners in investing and financial planners.
14. REITs (Real Estate Investment Trusts)
Offers an opportunity to invest in real estate without buying property. By buying units in REITs, one can benefit from both rental income and growth.
How to start: One can invest in popular REITs like Embassy, Mindspace through the stock market.
Who is better for: Mid-term investors and people looking for stable income.
15. Peer-to-Peer Lending (P2P Lending)
One can earn side income by lending money to a needy person through the P2P platform and earning interest on it. This is an alternative investment option.
How to start: Start investing by creating an account on RBI registered platforms like Faircent, LenDenClub.
Who is better for: Investors with low risk tolerance and people looking for passive income.
16. Food Truck or Weekend Cafe Stall
Setting up a food truck or stall on a small scale on weekends can be a good source of income. There is always a demand for street food in metro cities, especially for new and unique food items.
How to start: Decide on a location, get an FSSAI license and start with a small menu.
Best for: Food lovers, chefs, etc.
17. Event Photography or Videography
Photography at events such as weddings, birthdays or corporate meetings is a popular side income source. With a creative vision and a little technical knowledge, this work can go a long way.
How to get started: Start with a camera and basic gear, build a client base through Instagram or local networking.
Best for: Photography enthusiasts, students, and creative people.
18. Renting out a car, room or equipment
Many times, there are resources lying around that are not being used like an extra room, bike or camera. You can rent them out to generate regular income.
How to start: List on sites like Zoomcar, Drivezy, Airbnb or Rentomojo.
Best for: Working professionals, travellers and those looking for passive income.
19. Becoming a delivery partner (Zomato, Swiggy, Dunzo)
A stable part-time income can be generated by taking out a few hours from your daily schedule for a delivery job. There is always a demand for food and package delivery in cities.
How to get started: Register on the app, submit bike photographs and documents and choose the shift.
Best for: Students, part-time workers and people with extra time.
20. Fitness trainer or yoga instructor
The passion for fitness is not just limited to health, it can also become a great source of income. Local classes, park sessions or online training can generate good income.
How to start: Start with local parks, societies or online classes.
Best for: Fitness lovers, health experts and certified instructors.
You can decide the right side income for yourself by considering the following points:
Calculate time carefully : Every work requires time, some ideas require a little time every day, like blogging, while some can be done even on weekends, like classes or setting up stalls.
Identify your skills and interests : The work you are comfortable with can turn into side income. Skills like designing, writing, video editing are useful in freelancing, while creative people can create content.
Understand the budget and risk : Some ideas require some investment to start, like the food business or stock market. On the other hand, online tutoring or work on social media can be started without money.
Start Small: Start on a small scale and gradually build a stable client base while learning.
Work continuously : Patience and consistency are what turns your extra efforts into success.
Conclusion
Apart from a full-time job, it is now both necessary and wise to adopt a way to earn side income. Amidst the changing economic situation, rising inflation and future uncertainty, an additional source of income not only provides financial security but also gives a feeling of self-reliance. In today’s era, every skill and every hobby has value – you just need to start in the right direction. Only those who use their time properly and constantly learn something new are able to gradually create a strong second income. Small steps, right thinking and a little patience together can bring about a big change.
Frequently Asked Questions (FAQs)
What is the best side income source in India?
Freelancing, online teaching and content creation are good options.
Can I earn extra income while doing a full-time job?
Yes, many ideas discussed above can be done on weekends or in free time.
Do I need money to start a side income?
Some of the ideas discussed above can be started without any investment.
How much time does a side income source take?
One can start by working 1–2 hours daily to earn a side income.
Is it legal to have side income in India?
Yes, as long as the income is earned in the right way and taxes are paid.
Rakesh Jhunjhunwala, one of India’s most successful and famous investors, is also known as the “Big Bull of India”. Coming from a simple family and starting with just ₹ 5,000, this chartered accountant made his mark in the stock market.
In this blog, we will know how Rakesh Jhunjhunwala made a fortune worth crores, interesting information related to his net worth, and educational background.
Rakesh Jhunjhunwala was born in a Marwari family, where the concepts of business and investment were part of everyday conversation since childhood. His father was an officer in the Income Tax Department and was himself interested in the stock market. From here, Rakesh ji’s interest also grew towards the market. From childhood, he used to hear his father talking about shares and gradually he started reading share prices and names of companies in newspapers.
He graduated in commerce from Sydenham College, Mumbai. After this, he started studying chartered accountancy and in 1985 he became a qualified CA. During his studies, he understood that he wanted to make a career in the stock market.
Soon after becoming a CA, he entered the stock market with a capital of ₹5,000. At that time he did not have any big resources, but he had confidence, knowledge of doing research and courage to take risks. This quality makes him different from millions of investors. He understood the market not just as a source of income but as an art and a science – and this thinking earned him the title of “Big Bull of India”.
Lets look at the journey of Rakesh Jhunjhnwala in the stock market over the years:
Started Investment Journey with just ₹5,000 : Rakesh Jhunjhunwala entered the stock market in 1985, when he started his investment with just ₹5,000. At that time, the BSE Sensex was only around 150. This was the time when common people considered the stock market as gambling, but Rakesh ji saw it as an opportunity.
Initial Loans from brother’s clients :His conviction and dedication impressed his brother’s clients, who trusted him with ₹2.5 lakh to invest. With this capital, he expanded his initial investment a little and focused on investing in some good stocks.
First big profit : His first notable profit came in 1986, not long after entering the market. At that time, he bought 5,000 shares of Tata Tea at a price of ₹43. In just a few months, this stock reached ₹ 143. That is, his investment grew to almost three times his initial stake. This success was a turning point for him, which convinced him that with research, patience and time, big money can be earned from the stock market.
Gradually built a strong portfolio : After Tata Tea, he identified good companies one after the other and invested in them for the long term. Companies like Sesa Goa, Lupin, Titan, Crisil became part of his portfolio. Rakesh Jhunjhunwala believed that if the fundamentals of the company are strong, then it is beneficial to invest in it for years.
Investment thinking : He did not just buy shares – he understood the company. He always believed in quality business and did not run after popular stocks. He held his investments for the long term, due to which his winners yielded multibagger returns over time.
He always believed in the principle: “Buy right, sit tight.” i.e., invest in the right company and then stay patient.
Rakesh Jhunjhunwala’s Net Worth Over Time
Net Worth Timeline
Year
Estimated Net Worth
Sources and descriptions
1985 (beginning)
₹5,000
Started investing with his own savings
1990
Approx. ₹25 lakhs
Early investment in stocks like Tata Tea, Sesa Goa yielded profits
2002
₹250 crores +
Stocks like Titan, Praj Industries gave tremendous returns
2013
$1.3 Billion (~₹9,000 Cr)
Forbes India Billionaires List
2018
$3 Billion (~₹21,000 Cr)
Growth of Multibagger Stocks
August 2022 (Death)
$5.8 Billion (~₹46,000 Cr)
His net worth before death according to Forbes and ET
January 2025
₹50,310 crore
Based on listed portfolio of RARE Enterprises
March 2025
₹64,552.8 crore
Trendlyne data Public holdings of 27 stocks
Rakesh Jhunjhunwala Per Day Income & Portfolio Strategy
Rakesh Jhunjhunwala’s net worth was around ₹46,000 crores at the time of his death in 2022, which has increased to more than ₹64,500 crores by 2025. The value of his portfolio changes drastically every day due to the market fluctuations. His income cannot be compared to a salary with a fixed amount, but it was completely based on the performance of his invested stocks and dividends received.
Features of Portfolio Strategy : His investment strategy was clear; he held strong companies for the long term and did not believe in frequent trades. He believed that the most effective way to earn profits was to identify quality companies and stay invested for the long term.
Key points of his strategy:
Investment in companies with strong fundamentals
Focus on the quality of management
Clear thinking of long-term growth
Limited portfolio rebalancing
Beyond Stock Market: Akasa Air & Private Ventures
Rakesh Jhunjhunwala wasn’t just a stock market investor he was also a visionary businessman who contributed to India’s economy.
Co‑Founder of Akasa Air : He joined Akasa Air in July 2021 and invested $35 million in the initial round, giving him a nearly 40% stake. He increased his investment to bring his total stake to 46%, making him Akasa Air’s largest stakeholder. Today, Akasa Air’s fleet has expanded to 27 aircraft and offers services across 28 destinations.
Boardrooms & Mentorship : He served on the boards of several companies: places like Aptech, Hungama Digital Media, Praj Industries, Nagarjuna Construction Company, Prime Focus and Geojit Financial Services, etc. Jhunjhunwala wasn’t just an investor; he was a guide to the people trying to establish their businesses.
India‑First Growth Vision : He believed that India’s growth story had just begun. Whether it was the aviation sector or technology, he looked at everything as an opportunity. Akasa Air exemplifies this vision as an airline that not only offers top-notch services but also wants to contribute to India’s economic growth.
Investment Philosophy & Life Lessons
Rakesh Jhunjhnwala’s investment philosophy and life lessons can be summarized in the following points:
Do thorough research and analysis : Rakesh Jhunjhunwala believed that no investment in the stock market should be made without research. He used to invest only after doing thorough research on the fundamentals, management quality and future growth of the company.
Diversification is essential: He always emphasized on diversifying portfolios. He considered it risky to invest all the money in a single sector or stock. He believed that investing in different sectors reduces the risk and ensures stability in the long term.
Buy Right, Sit Tight : His most famous thought was – “Buy Right, Sit Tight”. But this did not mean just buying shares and sitting tight. He used to say that the mark of a real investor is to identify a strong company and trust it for a long time.
Long term vision : Jhunjhunwala believed that the market is not always stable. There will be periods of significant fluctuations, but a wise investor is the one who does not panic at that time; rather trusts his rationale behind investments.
He did not consider investment as just a means of earning money. According to him, every loss is a lesson and every investment is a learning. His mantra was trust knowledge and analysis, not tips.
The news of the sudden demise of Rakesh Jhunjhunwala on 14 August 2022 left the entire nation stunned. On his demise, everyone from common investors to veteran business leaders paid tribute to him on social media.
After him, his wife Rekha Jhunjhunwala carried forward his investment legacy. The companies included in his portfolio are still standing strong, and the firm RARE Enterprises founded by him is active in the investment world.
Rakesh ji inspired millions to start their investment journey with his thoughts and experiences. Even today, his words “Be patient, keep learning, do research” guide the new generation of investors.
Conclusion
Rakesh Jhunjhunwala’s story tells us that to be successful in the stock market, it is not necessary to start with a huge amount- you just need to have knowledge and the courage to hold your investments during volatile market conditions. The knowledge he has left behind through his decisions remains an inspiration for every investor even today. His journey proves that with discipline, knowledge, and patience, even modest beginnings can lead to extraordinary success in the stock market.
S.NO.
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Market regulator SEBI has taken strict action against US trading firm Jane Street and banned it from the Indian securities market. Investigation revealed that the firm made unfair profits of about ₹4,843 crores by misusing algorithmic trading on the expiry-day of Nifty and Bank Nifty derivative contracts. This decision has sparked a serious debate on the transparency and credibility of algo trading and quant trading firms in India. This strict action by SEBI shows that bypassing the rules by using automated trading models will no longer be tolerated no matter how influential the firm is.
SEBI’s Charges Explained: Why Jane Street Was Barred?
SEBI has found Jane Street and its affiliates of violating rules of the Indian derivatives market due to deliberate manipulation of index prices. These activities were carried out continuously from 1 January 2023 to 31 March 2025, with additional violations noted in May 2025.
Allegation 1: Intra-Day Index Manipulation
Jane Street made heavy purchases in stocks like Bank Nifty in the morning on expiry days and sold them at the end of the day, creating volatility in the market. They benefited from this in option trading. On January 17, 2024, ₹4,370 crore worth of Bank Nifty futures and its constituent stocks were purchased in the morning, and by the end of the day, the Bank Nifty was brought down by heavy selling worth ₹5,372 crores, which earned them profits worth crores from their position in Bank Nifty index options.
Allegation 2: Marking the Close Strategy
According to SEBI, Jane Street artificially moved the index up and down in the last 30 minutes of the day on several occasions. The purpose of this was to influence the closing value of the index at the time of expiry, which directly benefited them in option trades.
What did the SEBI report say?
SEBI found in its investigation that these trading patterns had no economic basis. The report clearly stated:
“This entire strategy was pre-planned so that the Jane Street Group could make profits and mislead the market.”
For how long did all this last?
This suspicious trading was done from January 2023 to May 2025. SEBI has described it as a pre-planned and malicious scheme, in which crores of rupees were earned by ignoring the rules.
How Jane Street Made the Profits?
Jane Street and its affiliates followed certain trading patterns in Nifty and Bank Nifty index derivatives that were against market rules. According to SEBI’s investigation:
Repetitive Pattern :
SEBI tracked 15 expiry days in which Jane Street first bought Index Futures in large quantities in the morning.
At the end of the day, when the market was about to close, they sold the same futures — causing artificial volatility in the market.
Profit from Options :
By moving the index up or down around the market close on expiry day, they profited from their positions in call or put options.
The prices of these options change significantly at closing, giving Jane Street a huge profit.
SEBI Recovery:
SEBI said that Jane Street Group made an unfair profit of a total of ₹4,843 crore.
This amount is now being recovered and forfeited under the interim order.
What It Means for Jane Street in India?
SEBI has issued a provisional order against Jane Street India and its associated companies –
Ban on trading : SEBI has prohibited Jane Street India from trading, dealing or accessing the Indian securities market. That is, at present they cannot engage in any kind of stock market activity.
Account freezing : SEBI has directed Jane Street’s and its associates to deposit unlawful gains of ₹4,843 crore in an escrow account.
Opportunity to respond in 21 days : Jane Street has been given 21 days in which it can present its side or challenge SEBI’s order.
Final order possible : SEBI has clarified that this order is provisional, but after the investigation is completed, a heavy fine, permanent ban or other strict action is also possible in the final order.
What This Means for Indian Brokers and Traders?
SEBI’s action on Jane Street is now having ripple effects on India’s broking system and small investors, signalling tighter monitoring for the industry.
Rethinking Expiry-Day Trading Risks : Brokers will now have to re-look at high-volume and high-loss-probability trades that take place on the expiry day. This has become a sensitive area after SEBI’s investigation indicated expiry-day manipulation.
Risk Management rules will be more stringent : After this action by SEBI, brokerage houses will have to update their risk management policies. Especially advanced checks and controls will be necessary on trades that cause large price fluctuations.
Pressure will increase on Algo Trading Firms : The filters and trading rules used for algo trading need to be further refined. It will be necessary to ensure that such algorithms do not manipulate the market.
Disclosure required for high-volume clients : Brokers will have to give proper risk disclosures to clients who repeatedly make high-volume trades on expiry-day. SEBI is emphasizing transparency and client awareness.
Surveillance systems become more important : The time has come for all brokers to adopt advanced surveillance tools so that suspicious trading patterns can be caught in real-time. SEBI is now adopting a proactive approach in such cases.
How does it impact Indian markets?
SEBI’s decision to suspend Jane Street’s access is being seen as a strong regulatory action in the Indian stock market. This move makes it clear that the regulator will now keep a strict watch on the activities of algo and quant trading firms, especially when it comes to unfair or manipulative trading patterns.
Jane Street, which earned more than $2.3 billion in net revenue from Indian equity derivatives in 2024 alone, is now directly facing a major setback. Not only their participation in Indian financial markets but their credibility and long-built business network has also been affected.
Conclusion
SEBI’s recent action has made it clear that regulations regarding algorithmic and quant trading in the Indian market are going to become even stricter. The barring of a big global firm like Jane Street can not only shake the trading ecosystem, but can also force all foreign and domestic institutions to rethink compliance and legality of their trading activities. This step can prove to be a turning point for ensuring market transparency and fairness.
S.NO.
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Most people in India use debit and credit cards these days, but very few know what the name written on their cards like RuPay or Visa means and how they are different from each other. Choosing the right card network is very important as it affects many aspects like security of transactions, convenience and international usage.
This blog explains in detail what is the difference between RuPay and Visa, which card is better for whom, keeping in mind the fees, benefits, acceptance, and global usage of both.
What is a RuPay Card?
RuPay card is India’s own payment card network, which was launched by NPCI (National Payments Corporation of India) in the year 2012. Its purpose was that India does not have to depend on foreign networks like Visa and MasterCard and people can get a cheap, safe and suitable option to make domestic transactions.
Fast and cheap in domestic transactions : Transactions made through RuPay card are processed in India itself, which makes the processing speed fast and the transaction charges are also very low. This is the reason why this card has become very popular especially in small towns and rural areas. Government banks and private banks issue it at a low cost, due to which it is used extensively in Jan Dhan accounts, PM Kisan, and other government schemes.
Types of RuPay Cards
There are many types of cards available under the RuPay network:
RuPay Debit Card : Money is debited directly from the bank account
RuPay Credit Card : For limit based spending
RuPay Prepaid Card : Use after preloading money
RuPay Global Card : For international use
Global expansion of RuPay : In recent years, RuPay has also expanded internationally. RuPay Global cards are accepted at over 42.4 million POS locations and over 1.90 million ATM locations in 185+ countries and territories worldwide. This means that now it is possible to do shopping, ATM withdrawal and online transactions abroad with a RuPay card.
Important role in government schemes : RuPay card is being used in many schemes of the Government of India such as:
Pradhan Mantri Jan Dhan Yojana
PM Kisan Samman Nidhi Yojana
E-Shram Card
Ayushman Bharat Yojana
In these schemes, money is sent directly to the accounts of the beneficiaries through Direct Benefit Transfer (DBT), and in most cases a RuPay card is given.
Visa card is the world’s largest and oldest international payment network, which started in America in 1958. Visa is not a card issued by any bank, but it is a network provider, which allows banks around the world to issue cards. It is used in the form of debit, credit and prepaid cards.
Globally accepted and user-friendly : The biggest strength of Visa card is its global acceptance. Cards on the Visa network are accepted in more than 200 countries, whether it is withdrawing cash from an ATM, shopping at a POS machine or making online payment from international websites. Apart from this, many Visa cards also offer premium features like lounge access, global offers, travel insurance and cashback.
Types of Visa Cards
Banks issue three types of cards on the Visa network:
Visa Debit Card: Directly linked to the bank account
Visa Credit Card : For limit based purchases
Visa Prepaid Card: Used by loading a fixed amount
Advanced in security and technology : Visa cards have security technology like EMV chip, 2-factor authentication, and fraud detection system, which makes transactions secure. Visa’s network called VisaNet is one of the fastest and secure payment processing systems in the world.
Key Differences Between RuPay and Visa Card
Parameters
RuPay Card
Visa Card
Origin
Launched in 2012 by NPCI, supported by the Government of India
Founded by US-based Visa Inc., started in 1958
Transaction Processing
All transactions processed within India, making it faster, cheaper, and more secure.
International processing involves currency conversion and cross-border fees, making it more expensive for foreign transactions
International Acceptance
Accepted in over 185 countries with over 42.4 million POS locations and over 1.90 million ATM locations.
Widely accepted in approximately 195 countries globally directly through Visa’s global network
Fees & Charges
Minimal charges for domestic use; slightly higher for international usage
Higher fees for international transactions due to currency conversion and network charges
Rewards & Benefits
Limited offers; government-issued cards typically don’t offer reward programs
Attractive rewards, cashback, travel benefits, and insurance on many cards
Usage in Government Schemes
Widely used in schemes like Jan Dhan, PM-Kisan, e-Shram, and other DBT programs
Not used directly in government schemes; popular among private users and international travelers
Usage Scope
Ideal for domestic payments, subsidies, ATM withdrawals, and local POS transactions
Suitable for both domestic and international payments
Card Issuance Cost
Low-cost issuance for banks minimal interchange and network fees
Expensive for banks as higher interchange and processing costs
The use of each card depends on the needs – some need the card only for local payments, while others need it for international shopping or travel. Both RuPay and Visa have their own benefits, only the way of using them is different.
Where you’re using it
Which card fits best
Daily expenses like ATM withdrawals or paying at local shops
RuPay
Receiving money from government schemes like Jan Dhan or PM-Kisan
RuPay
Making payments while travelling abroad at ATMs or swipe machines
Visa
Shopping on international websites or global online platforms
Visa
If you’re looking for extras rewards like travel benefits, insurance, or cashback
Visa
Want lower charges and faster domestic processing
RuPay
RuPay is a network that has been created in India, for the people of India. This card is generally better for local transactions, government payments and low charge transactions. Its biggest advantage is that its entire process takes place in India – which makes the transactions fast and secure.
On the other hand, the network of Visa cards is spread all over the world. If someone uses it more for making payments on international websites, or while traveling abroad, then Visa becomes a more suitable option. It also offers some advanced features, like airport lounge access or global insurance cover.
Pros and Cons of RuPay Card
Pros :
All transactions are processed in India, which leads to faster speeds and better data security.
Card issuance is cost effective for banks, which allows users to avail it at low or no charges.
Designed for domestic use easily accessible on ATMs, UPI and POS.
Acceptable and compatible with government schemes like Jan Dhan, DBT schemes etc.
Cons :
Limited acceptance for international transactions; not supported by all countries and websites.
Less or no extra features like rewards, cashback, travel benefits.
The international card variant (RuPay Global) still has a limited network.
Pros and Cons of Visa Card
Pros :
Visa is an international payment network that is accepted in 200+ countries across the world.
Works seamlessly with international websites and travel payments.
Most cards offer features like reward points, cashback, and discount offers.
Some premium Visa cards also come with advanced benefits like airport lounge access, travel insurance, and foreign transaction security.
Visa’s fraud detection technology and secure payment system works at international standards.
Cons :
International processing may lead to additional charges on transactions, such as foreign transaction fees.
For those who use their card only in India, a Visa card is not a must it may seem over featured or overserved.
Some basic Visa cards do not offer special offers or features, which may reduce value for money.
Choosing between Visa and RuPay depends on your needs. RuPay is ideal for affordable, fast, and secure domestic transactions. Its lower fees and strong integration with government schemes make it ideal for local use. Visa suits international travelers and online shoppers, offering wider acceptance and premium perks like rewards and insurance. Assess your spending habits and transaction locations to pick the card that best fits your lifestyle and financial goals.
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Term insurance has become a necessity in 2025, especially in uncertain financial times where long-term security has become increasingly important. It is an insurance option that provides great financial security to the family’s future goals at a low cost. Today’s insurance companies are providing better claim processes, useful rider benefits and customized plans according to personal needs. This article includes 10 such trusted and popular best term insurance plans, which are becoming the first choice of people this year.
What is Term Insurance and Why is it Important?
Term insurance is a life insurance plan that provides coverage for a fixed period. During this period, if the insured person dies, the nominee gets the entire sum assured. But if the insured person survives till the completion of the policy term, then no amount is received. This is why it is called a “pure protection plan”.
In 2025, term insurance has become smarter and more personalized than before. Insurance companies are now also offering features like flexible plans, digital claim process and health-based premiums. This plan provides high coverage at a low premium, making it one of the most economical ways to ensure your family’s financial security.
Top 10 Best Term Insurance Plans in India
S.No
Term Insurance Plan
Claim Ratio (2023–24 Avg.)
Max Cover Age
Key Riders Available
1
LIC Tech Term Plan
98.5%
80 years
Accidental Death
2
HDFC Life Click 2 Protect Super
99.5%
85 years
Critical Illness, Accidental Death
3
Max Life Smart Secure Plus
99.5%
85 years
Critical Illness, Accidental Death, Waiver of Premium
4
ICICI Pru iProtect Smart
97.9%
85 years
Critical Illness, Accidental Death, Waiver of Premium
5
Tata AIA Sampoorna Raksha Supreme
99.0%
100 years
Accidental Death, Critical Illness
6
SBI Life eShield Next
97.6%
85 years
Critical Illness, Accidental Death
7
Bajaj Allianz Smart Protect Goal
99.1%
99 years
Critical Illness, Waiver of Premium
8
Aditya Birla DigiShield Plan
98.7%
85 years
Terminal Illness
9
PNB MetLife Mera Term Plan Plus
98.5%
99 years
Critical Illness, Accidental Death
10
Kotak Life e-Term Plan
98.6%
75 years
Accidental Death
Top 10 Best Term Insurance In India: Overview
An overview of the top 10 term insurance plans in India are mentioned below:
1. LIC Tech Term Plan
LIC Tech Term Plan is a pure protection plan which is available online only. It does not provide maturity benefit, but in case of death, the nominee is given the entire sum assured. Low premium, accidental rider option and the trust of LIC make it a reliable option.
Key Features
Plan can be purchased online only (no agent required)
Different premium rates for smokers and non-smokers
Guaranteed sum assured in case of death
Option to return policy within 30 days
Lower premium than other offline LIC plans
NRIs can also buy (medical test has to be done in India)
Benefits
Death Benefit: In case of death during the policy term, the nominee gets a fixed amount
Optional Rider: accidental death benefit rider is available
Tax Benefits: Exemption under section 80C on premium and 10(10D) on claim amount
Digital Journey: The entire process is online fast, easy and paperless
This HDFC Life plan is for those who want more than just regular term insurance. Along with protection, it also has rider options and great customisation features, which make it different from other plans.
Key features
Three options Life, Life Plus, and Life Goal, to suit everyone’s needs
Option to increase coverage in the future (with Life Goal)
Whole Life cover is also available protection up to 100 years
Useful riders like critical illness, accidental death and waiver of premium can also be added
Premium rates are adjusted based on health and lifestyle
Benefits
Flexible Coverage: Plan can be adjusted as per life stage
Critical Illness Rider: Upfront payout in case of critical illnesses
Accidental Death Rider: Additional protection in case of death due to accident
Waiver of Premium: Waiver of future premium in case of disability.
Tax Benefit: Exemption under section 80C and 10(10D)
This plan from Max Life is especially for those who want a simple but reliable term insurance with more options. Along with long-term security, it also offers some benefits that can come in handy in emergencies – like critical illness cover, premium waiver, and accidental benefit rider.
Key features :
Two options Life Cover and Income + Life Cover
Coverage of up to 64 diseases in Critical illness rider
Extra payout in Accidental death rider other than sum assured
Zero-cost term option with premium refund at policy maturity
Return of premium can also be selected to reduce premium
Benefits :
Along with financial protection, health cover is also available
Facility of refund of entire premium in Zero cost option
Ideal for long policy term (more than 40 years)
Policy can be made stronger by adding multiple riders
Tax benefit is available under section 80C and 10(10D)
Criteria
Details
Entry Age
18 to 65 years
Maximum Coverage
Up to 85 years
Policy Term
10 to 67 years
Minimum Sum Assured
₹25,00,000
Premium Payment
Yearly, Half-Yearly, Monthly
Who Can Buy
Indian residents only
4. ICICI Pru iProtect Smart
This plan from ICICI Prudential is a practical and multi-featured option for those who don’t want to limit themselves to just basic protection. This plan not only offers life cover, but also covers multiple aspects like critical illness, disability and accidental death – all in a single policy.
Key features :
Four protection options Life, Life Plus, Life & Health, and All-in-One
Coverage of over 60 critical illnesses without asking for hospital bills
Accelerated Terminal Illness Benefit automatically included
Extra payout from Accidental death benefit option
Consistently high claim settlement ratio.
Benefits :
Protection of both health and life in one plan
Critical illness payout is available even if the policy continues
All-in-One option covers every major risk
Seamless digital journey for medicals and documentation
This plan of Tata AIA is a term insurance that balances flexibility, lifetime coverage and health benefits. In this, you can add not only protection but also facilities like income benefit, return of premium and critical illness. This plan is a very strong option for long-term family security.
Features :
Four options Life Option, Life Plus, Life Income, and Credit Protect
Option for whole life cover – protection up to 100 years
Cover for 50+ diseases under critical illness rider
Option for return of premium – money back on maturity if there is no claim
Online medical consultation and wellness services also included
Benefits :
Pure protection along with optional income and return benefit
Long-term protection ideal for legacy planning
Can add accidental death and terminal illness cover
Tata AIA’s strong claim settlement record and digital process
Tax exemption under Section 80C and 10(10D)
Criteria
Details
Entry Age
18 to 65 years
Maximum Coverage
Up to 100 years
Policy Term
10 to 40 years (Life cover for whole life option)
Minimum Sum Assured
₹50,00,000
Premium Payment
Annual, Semi-Annual, Monthly
Who Can Buy
Indian citizens (self-only policy)
6. SBI Life eShield Next
SBI Life eShield Next is a pure term insurance plan that offers life cover along with flexibility and smart protection keeping in mind future responsibilities. This policy is specially designed to financially cover unplanned life events. The cover increases automatically as the life stage increases. There are three options available: Level Cover, Increasing Cover and Level Cover with Future Proofing Benefit which allows customizing the plan as per the need.
Key Features :
Flexibility with three plan options (Level, Increasing, Future Proofing)
This plan of Bajaj Allianz has been designed keeping in mind the modern needs. Not only life cover, but benefits like health and return of premium are also available. There is an option of Zero Cost Term Insurance, which means along with protection, money can also be returned on maturity like an investment.
Key Features :
4 options: Life Cover, Child Education Extra Cover, Return of Premium, and Increasing Cover
Whole life coverage option up to 99 years
Comprehensive cover of 55 critical illnesses
Zero cost term option full premium returned on policy maturity
Accidental permanent total disability benefit included
Benefits :
All-round plan covering both critical illness and disability
Return of premium option for those who want maturity value
Ideal for long-term financial planning
Add-ons like spouse cover and waiver benefit available
Aditya Birla DigiShield Plan is a customisable term insurance plan that offers over 10 plan options to suit different life needs. This policy is a perfect combination of flexibility and protection whether your preference is pure life cover, critical illness cover or income payout. The highlight of this plan is its ‘Whole Life Cover’ option, which provides protection up to the age of 100 years.
Key Features:
10+ plan options like Level Cover, Income Benefit, Whole Life Option
Critical Illness, Terminal Illness and Accidental Death Riders available
Income benefit payouts (options like monthly income)
Life stage benefit – As soon as a new phase comes in your life (marriage, childbirth), coverage can be increased
Tax benefits as per Section 80C & 10(10D)
Criteria
Details
Entry Age
18 years
Maximum Entry Age
65 years
Policy Term
10 to 85 years (or up to age 100)
Minimum Sum Assured
₹25,00,000
Premium Payment
Regular / Limited / Single Pay
Claim Payout
Lump sum / Monthly / Hybrid
9. PNB MetLife Mera Term Plan Plus
PNB MetLife Mera Term Plan Plus is a comprehensive and flexible term insurance policy that ensures long-term financial security for you and your family. The most special feature of this plan is the option of spouse cover, which means you can cover your spouse in a single policy. Also, this plan offers options like return of premium and increasing life cover, which gives you personalized protection at every turn of life.
Key Features:
Spouse coverage option in a single policy
Options like Return of Premium (ROP) and Increasing Life Cover
Accidental Death Benefit, Serious Illness, and Waiver of Premium riders available
Claim payout flexibility lump sum, monthly income or combination
Kotak e-Term Plan is a pure protection plan that gives your family financial independence in case of your sudden death. The biggest feature of this plan is its flexibility. You can choose the cover type as per your requirement: Level Cover, Increasing Cover or Step-down Cover. There are also multiple payout options and optional riders available so that the plan easily aligns with your lifestyle.
Key Features:
Three cover options: Level, Increasing & Step-down
Claim payout flexibility: Lump sum, monthly income or both
Optional riders for Critical illness, Accidental Death Benefit and Permanent Disability
In 2025, term insurance is more than just financial protection—it is a key component of smart financial planning. Choosing the right term insurance plan has become easier and more convenient than ever before. You just need to make the right choice based on your needs, age and lifestyle. If your goal is to secure your family’s financial future, a good term insurance plan is essential. It is advised to consult a financial advisor to determine your current financial position and future objectives and then choose a term insurance plan accordingly.
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Which is the best term insurance plan in India 2025?
It may vary from individual to individual, but LIC Tech Term, HDFC Click 2 Protect Super and ICICI iProtect Smart are the most popular and trusted options in 2025.
What is the ideal age to buy a term insurance plan?
The age of 20 to 35 is considered most appropriate because the premium is low and long-term cover is available.
Can I get my premium back if I survive the policy term?
Yes, if you have taken a plan with Return of Premium (TROP), then you get the premium back on maturity.
Are medical tests necessary for buying term insurance?
Yes in most cases, but in some low-cover or instant policies insurance can be obtained even without medical insurance
Can I increase my sum assured later?
Some plans have life-stage benefits through which you can increase the cover on occasions like marriage, birth of a child etc.
In today’s uncertain economic environment, rising expenses, lack of job security, and unstable income have become common concerns. In such a situation, a monthly income plan can become a great way to safeguard your financial future.
This blog is for those people who want to diversify their income stream and receive a stable income every month – that too without taking on big risks. Here we will talk about the best investment plans for monthly income in detail.
10+ Best Investment Plans for Monthly Income in India
S.no
Monthly Income Plans
1
Post Office Monthly Income Scheme (POMIS)
2
Monthly Income Mutual Funds (MIPs)
3
Senior Citizen Saving Scheme (SCSS)
4
Corporate Fixed Deposits (with monthly payouts)
5
Government Bonds (with monthly interest option)
6
RBI Floating Rate Savings Bonds
7
Annuity Plans from Insurance Companies
8
SWP (Systematic Withdrawal Plan) from Mutual Funds
Overview of the Top Best Monthly Investment Plan for Monthly Income in India 2025
An overview of all the plans is given below:
1. Post Office Monthly Income Scheme (POMIS)
POMIS is a scheme in which once the money is invested, a fixed interest is received every month. The government guarantee and the reliability of the post office make this scheme special among small investors.
Important points (as of 2025)
Interest rate 7.4% per annum
Interest is paid every month
Single account Maximum investment : ₹9 lakh
Joint account Maximum investment : ₹15 lakh
Scheme term : 5 years
Minimum investment ₹1,000
Who can invest?
Any Indian citizen
Joint account can be opened in the name of two adults
NRIs cannot invest in it
Example of returns : Investing ₹9 lakh gives an income of about ₹5,550 every month.
Advantages
Disadvantages
Guaranteed monthly income
Interest received is taxable
Capital is completely safe
No tax exemption under Section 80C
Investment is simple and easy
Penalty is levied if withdrawn before five years
2. Monthly Income Mutual Funds (MIPs)
Monthly Income Plans (MIPs) are mutual funds designed to provide regular income to investors. Most of the money is invested in debt instruments (such as bonds) and a small portion in equity to get better returns.
How does it work?
This scheme provides income every month through Systematic Withdrawal Plan (SWP)
The return is completely market dependent – there is no fixed rate
If the equity portion is high, both risk and return increase
Most schemes invest 75–90% in debt and 10–25% in equity
For example : If ₹10 lakh is invested and the annual average return is 8%, then an income of about ₹6,000 – ₹6,500 can be withdrawn every month (may vary according to market conditions).
Advantages
Disadvantages
Potential for higher returns than bank FDs
Credit risk of issuer
Monthly income through SWP
Returns not fixed
Provides flexibility for tax planning
NAV may fall if interest rate rises
3. Senior Citizen Savings Scheme (SCSS)
Senior Citizen Savings Scheme (SCSS) is a reliable and safe investment scheme backed by the Government of India, specially designed for senior citizens aged 60 years and above. This scheme is an excellent option to get a regular and fixed income after retirement, in which your capital is completely safe and the interest is paid on time.
How does it work?
Age should be 60 years or above. Those aged 55+ who have opted for VRS are eligible.
Maximum investment limit has been increased to ₹30 lakh in 2025.
Minimum investment starts from ₹1,000.
Interest rate is 8.2% per annum, which is paid quarterly.
The tenure of the scheme is 5 years, which can be extended by 3 years.
Who is it for?
People who are retired and want a steady income every few months.
Those who are focused on capital protection and stable income.
Example: An investment of ₹30 lakh earns approximately ₹61,500 interest every quarter, i.e. approximately ₹20,500 per month.
Advantages and Disadvantages
Advantages
Disadvantages
Government guarantee
Interest is taxable
Tax exemption under 80C section
Quarterly income, not monthly
Fixed interest rate
Lumpsum investment required
4. Corporate Fixed Deposits
Through Corporate FDs, reputed NBFCs and companies raise funds directly from investors. These instruments, when offered by reputed institutions, can be considered as secure as a bank FD with higher interest rates.
Key details for 2025
Interest rate 7.4% to 8.6% p.a. (depending on the issuing company)
Payment frequency : Monthly / quarterly / half-yearly / yearly depending on your choice.
Minimum investment Depends on issuer
Maturity period : Ranges between 12 to 60 months.
Who can invest?
Any Indian citizen
Senior citizens get 0.25–0.40% additional interest
Example: If the interest rate on an FD of ₹5 lakh is 8.3%, then the income can be around ₹3,458 every month
Advantages
Disadvantages
Possibility of higher returns than bank FDs
Slightly higher risk than banks FDs
Regular cash flow due to monthly payout
Risk of capital loss if the issuing company defaults
Option to withdraw before maturity
Interest is fully taxable
5. Government Bonds (with monthly interest option)
These bonds issued by the government are a safe investment in the market. Some government securities offer interest payment options with frequency like monthly or bimonthly, thereby providing a regular source of income.
Key Details (till 2025)
The government issues bonds with different tenures like 3, 5, 7, 10, 15, 30, 40, 50 years
Some bonds offer monthly payment options; others offer interest on a quarterly or a semi-annual basis.
10‑Year G‑Sec Yield is around 6.6% (till May 2025), which is better than other small savings options
Who can invest?
Any Indian citizen, HUF, Institutions
Single or joint holding option
NRIs may be eligible in some cases
Example : Investing ₹10 lakh, at 6.6% rate, the potential income is ~₹66,000 per annum, i.e. around ₹5,500 per month.
Advantages
Disadvantages
Backed by Government of India
Interest is taxable
Can be easily bought and sold
Monthly payouts not applicable for every bond
Better return potential than other small savings schemes/FDs
Returns of bonds may be affected due to changes in interest rates
6. RBI Floating Rate Savings Bonds
This scheme of RBI is for those investors who want their money to be safe and have regular income. It gives better returns than fixed deposit returns as its rate is reset semiannually to NSC (National Savings Certificate) rate + 0.35%
Key Details (2025)
Interest Rate 8.05% p.a. (for Jan–Jun 2025)
Payment Frequency: Every 6 months (1st Jan and 1st Jul)
Minimum Investment : ₹1,000 (in multiples thereafter)
No maximum investment limit
Lock-in period of 6 years for investors aged between 60–70 years and 5 years for investors aged between 70 and 80.
Who can invest?
Any Indian citizen or HUF
Can be a single or joint account
NRIs not eligible
Example of returns : By investing ₹10 lakh, you can get about ₹38,600 interest every six months – that is, about ₹77,200 annually
Advantages
Disadvantages
Fully government backed and secured
Interest is taxable and TDS will be applicable (on interest above ₹10,000)
Rates are NSC based, floating but lucrative (currently 8.05%)
Not fixed, rates may change every 6 month
Periodic income every six months
Premature withdrawal not possible (except in special cases of senior citizens)
7. Annuity Plans from Insurance Companies
Annuity Plans are options offered by insurance companies in which a lump sum amount is deposited and then regular income is received for a fixed period or for life. This scheme is especially for those who want fixed income after retirement. Companies like LIC, HDFC Life, ICICI Prudential, SBI Life offer these plans.
Key points (as of 2025)
Annuity Income starts immediately after investment
Deferred Annuity Income starts after a few years
Interest rate : 5.75% – 7% (depends on age and plan)
Income frequency Monthly, Quarterly, Half-Yearly or Yearly
Minimum investment Starting from ₹1 lakh
Some plans include a ‘Return of Purchase Price’ option, where the invested amount is paid to the nominee after the annuitant’s death.
Who can invest?
Individuals aged between 30 to 85 years
Single or Joint Annuity option
Extra benefits and payout options for Senior Citizens
Example: Investing ₹10 lakh at the age of 60 can generate monthly income of ₹5,500 under immediate annuity option.
Advantages
Disadvantages
Assured income for life
Returns are limited
Capital protection (in some plans)
Does not adjust to inflation
Tax exemption (under Section 80CCC)
Premature withdrawal not possible
8. SWP (Systematic Withdrawal Plan) from Mutual Funds
SWP is a method where you can withdraw a fixed amount every month from your mutual fund investments. In this, your money remains invested in mutual fund schemes and you can get regulated income from it. These schemes are best for investors who want a flexible and tax-efficient way to earn side income.
Key points (as of 2025)
SWP can be started by investing in any mutual fund scheme
Withdrawal amount and frequency (monthly/quarterly) are decided by you
SWP option available in both equity and debt schemes
Equity SWP has the potential for better returns in the long term
Withdrawal is based on NAV of units
Example: ₹10 lakh invested and ₹6,000/month SWP started — investment remains intact and can grow as per the market
Decline in invested amount can happen if returns are low
Tax-efficient withdrawals (10% tax after LTCG)
Not a guaranteed income
9. Real Estate (Rental Income)
Rental income is a traditional and reliable way to earn passive monthly income. If you own a residential or commercial property, renting it out can generate a steady income every month. This scheme is especially suitable for people who like investing in physical assets and want a stable cash flow.
Key highlights (as of 2025)
Rental income can be earned by investing in properties like residential flats, shops, offices, godowns
The rental yield is 2-3% in metro cities (residential), while in commercial properties it can be up to 6–9%
Rent agreements are usually for 11 months and TDS can be up to 10% (above ₹50,000/month)
Property registration, maintenance, and taxes are the responsibility of the owner
Example: If you have purchased a commercial property worth ₹1 crore and it is getting a rental yield of 7%, then a rental income of around ₹58,000-₹60,000 per month is possible.
Advantages
Disadvantages
Stable monthly income
High investment and maintenance cost
Benefit of property value appreciation
Low liquidity
Tax benefits (interest on home loan under 24b)
Dependency on timely payments by tenants. Legal hassles due to non-payment.
10. REITs (Real Estate Investment Trusts)
\If you want to earn money from real estate but find it difficult to invest lakhs and crores, REITs are a great option. These are investment trusts that invest in large commercial properties such as office buildings, IT parks or malls — and distribute a portion of the rent generated from them to investors. The best part is that REITs can be bought and sold on the stock market, just like any other stock.
Key points (effective in 2025)
The three major listed REITs in India are Embassy Office Parks, Mindspace Business Parks, and Brookfield India REIT.
Up to 90% of the total income is distributed to investors
Rental yield is between 6% and 8% on an average
Regulated by SEBI for transparency and security
Example: If you invest ₹5 lakh in a REIT, and the annual yield is 7%, then a monthly income of around ₹2,900 – ₹3,000 is possible.
Advantages
Disadvantages
Low capital investment than investing in real estate
Dependence on real estate market’s current conditions
Regulated and transparent structure
Returns are not stable and are dependent on market conditions and occupancy
Good liquidity, tradable like shares
Returns earned are taxed
11. Dividend-Paying Stocks
If you want to build wealth in the long term and also need regular income every year, then dividend-paying stocks are a smart choice. These are stocks that pay a part of the company’s profits to investors as dividends – once or twice a year, some companies also pay quarterly. By strategically choosing companies with staggered payout dates, it’s possible to create a consistent monthly income stream. This method requires monitoring dividend yield, payout history, and financial health of the companies to ensure sustainability and stability.
Important points (as of 2025)
It is important to choose companies with high dividend yield
Companies giving good dividends are generally PSUs (eg: Coal India, ONGC) and FMCG (eg: ITC, Hindustan Unilever)
Dividend yield can be from 3% to 7%
Liquidity is good in the stock market, making buying and selling easy.
Example : If ₹10 lakh is invested in a stock like ITC and the yield is 6%, then the annual income can be up to ₹60,000 i.e. ₹5,000/month.
Advantages
Disadvantages
Passive income along with price appreciation over time
Market risk is always there
Inflation-beating returns
Returns are lower than growth stocks
Long-term wealth creation
Long-term wealth creation
12. Peer-to-Peer Lending (with monthly EMIs)
Peer-to-Peer (P2P) lending through a digital platform allows you to give loans directly to individual borrowers and then get the money back from them in the form of EMIs (principal + interest) every month. In this, you become a lender, and the borrowers take personal loans from you.
Key points (as of 2025)
Expected returns: 10%–15% (depends on borrower profile)
You can give loans ranging from ₹500 to ₹50,000 to each borrower
EMI comes monthly, which creates fixed monthly cash flow
Minimum investment starts from ₹5,000
Risk-based investment model: high risk = high return
Example : If you have given a loan of ₹1 lakh at 12% interest, then EMI-based income of about ₹9,000–₹10,000 annually i.e. ₹750–₹830/month can be earned.
If you want a fixed income every month, then today there are many investment options in India that can fit your needs. Some investors prioritize safety, while others are willing to take calculated risks for higher returns. With the right knowledge and planning, you can choose an income plan that aligns with your goals. Be it a post office scheme, mutual fund or any modern investment, with a little planning you can earn a steady monthly income. It is always advised to consult a financial advisor before investing.
S.NO.
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What is the safest monthly income scheme in India?
The safest options to earn a monthly income include Senior Citizen Saving Scheme (SCSS), Post Office Monthly Income Scheme (POMIS) and RBI Floating Rate Savings Bonds as these are government-backed schemes.
Can I get ₹10,000 per month from any investment plan?
Yes, it is possible to earn ₹10,000/month income by investing ₹10–15 lakh in multiple investment plans like annuity plans or rental property.
Are mutual fund SWPs taxable?
Yes, money received from SWP is counted as capital gains and is taxed.
What are REITs and how do they pay monthly income?
REITs are companies that invest in commercial properties and distribute rental income as dividends.
Is P2P lending safe for earning a monthly income?
There is risk in P2P lending as borrowers can default, but the returns can be higher than FD.
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