11 Best Investment Plan With High Returns In India 2022

Last updated – 03 Jan 2022

Investment for a common person is filled with hundreds of plans and options with each claiming to be the best in the market. 

On top of which your understanding of markets and investment plans puts you in doubt. You either need to spend time doing research or take an expert’s help to seek high returns. 

But, the below list of 11 best investment plans in with India that would give you higher return. You can pick plans based on your goals and risk-taking capacity.

Best Investment Plan With High Returns in India 2022

#1. Stock Investment

Direct investment in shares

Direct investment in equity, if done correctly, has the potential to generate a large amount of returns over a long period of time. 

But the method is risky, time-consuming and is suited to self-directed investors who like to carry their own research, investing and managing their investments.

If you do not have the expertise or time then you should invest in shares through mutual funds. 

Expected Return – 20% and over


  • Possibility of very high returns
  • No fees like expense ratio
  • Freedom to select individual shares 


  • Requires time and expertise to research and monitor
  • Chances of failure is high

Best For – Aggressive investors who like to do their own research & investment for building long term wealth.

#2. Equity Mutual Funds

Equity Mutual funds

Equity mutual funds collect money from various people to form a pooled corpus of funds that invests predominantly (more than 65%) in equity & equity-oriented assets to generate higher returns. 

You can expect the equity funds to capture the returns generated by a multi-fold increase in the price of shares over a long period of time. The equity funds are best suited to form a huge corpus of wealth like retirement funds. 

Equity mutual funds have a higher risk due to underlying movements in stocks. 

Expected Return – 15% to 18%


  • Professionally managed by the fund manager
  • Diversified investment
  • No individual stock research, tracking and timing required 


  • Carries expense ratio of 1% to 2% as fees
  • Returns depend on stock market movements

Best For – Investor with high-risk capacity with a long term investment horizon

#3. Commercial Real Estate

Commercial Real Estate

Commercial real estate involves investment in office space and shops in prominent locations to generate returns. The high returns on commercial real estate come in the form of capital appreciation and rental income.

However, your returns from commercial real estate depend upon the demand-supply, location of the property, construction quality and nearby infrastructure & amenities. 

Expected Return – 12% to 15% 


  • Possibility of a very high capital appreciation
  • Brings diversification to your overall investment portfolio


  • Requires huge upfront investment & regular maintenance
  • Real estate investments are illiquid 

Best For – Experienced real estate investor with deep pockets. 

Best Investment Plan With High Returns for 3 Years in India

#4. Equity Linked Savings Scheme (ELSS)


ELSS is a class of mutual funds that earn higher returns for a three year investment period when compared to other assets like bank fixed deposits and PPF. 

ELSS is best known to help you with tax planning because the investment up to Rs. 1.5 Lakhs is eligible for deduction under section 80C.

The scheme helps you create a diversified portfolio with a major portion of the funds invested in equities. 

Expected Return – 14% to 16%


  • Helps both investment & tax savings
  • Pooled assets with a dedicated fund manager


  • Lock-in period of three years
  • Carries an expense ratio of 1% to 2%

Best For – Aggressive person looking for a three-year investment horizon and tax planning tool

Best Safe Investments With High Returns in India 2022

#5. Debt Mutual Funds

Debt mutual funds invest your pooled money predominantly (more than 65%) in debt instruments like government securities (G-Secs), T-bills, corporate bonds and NCDs. 

The debt instruments are safe because they provide regular interest income and are not subject to wild stock market fluctuations. 

You earn an assured amount of money because the interest rate and the maturity value is known beforehand at the time of investment. 

Expected Return – 9% to 11%


  • Research and investment is looked after by fund manager
  • You get the opportunity to invest in high-cost G-Secs 


  • Returns are influenced by interest rates & economic conditions
  • Need to pay fund management fees

Best For – Moderately risk-taking investors who want to invest safely without losing the initial capital. 

#6. Public Provident Fund (PPF)

PPF investment

PPF is an interest bearing safe investment option where you place your money with the government. PPF offers higher returns as compared to bank fixed deposit and savings account.

You can open a PPF account at your nearby bank. 

There is no risk of market movements or your returns getting impacted by economic conditions. The only dependency is that the PPF rates are set by the ministry of finance. 

Apart from being a safe investment option, PPF helps you save taxes because the investment in PPF is eligible for claiming deduction under section 80C of the IT Act. However, the investment period is 15 years and partial withdrawal is possible only after completion of five years.

Expected Return – 7.1% for the present quarter


  • No impact of market volatility
  • Backed by the government
  • Principal and interest amount are tax exempted


  • Withdrawal possible after 5 years
  • PPF account can be closed after 15 years

Best For – Employees looking for tax savings and long term safe investments

#7. Investment in Gold

Investment in gold can be done in a traditional way by holding gold jewelry, coins and gold bars. 

Newer methods of investing in gold are through

  • Gold ETFs & Gold mutual funds 
  • Gold bonds
  • RBI Sovereign Gold Bond Schemes

Historically, gold had given safe returns of over 10% beating inflation and providing a means of diversification to your investment portfolio.

Expected Return – 10% to 13%


  • Safe, high returns beating inflation
  • Investment through bonds, ETF and mutual funds possible 


  • Holding physical gold is risky 
  • No tax benefits on gold investments

Best For – Persons looking to diversify their investment portfolio.

#8. Bank Fixed Deposits

You can safely place your money in fixed deposits of any frontline scheduled commercial banks for a period ranging from 7 days to 5 years and above. 

Bank fixed deposits carry a fixed interest rate so that you are assured of your returns. 

Expected Return – 4.5% to 8% depending on the time period and bank to bank 


  • Money lies safe with a particular bank
  • Option to take a loan on the fixed deposits created


  • Lock-in period for the entire fixed deposit period

Best For – Creating a corpus to retire a loan, purchase an asset or clear mortgage payment

Best Short-term Investment Plans With High Returns in India

#9 Liquid Mutual Funds

Liquid MF

If you have a very short-term investment period of less than three months then you can invest in liquid mutual funds instead of placing your money in a savings bank account.

Liquid mutual funds invest in T-bills, certificates of deposits and other debt instruments having residual maturity of 91 days only. 

Thus, liquid mutual funds are able to generate higher returns than the savings bank account interest rate. 

Expected Return – 5.5% to 7%


  • Generate higher returns on the idle funds
  • Help in creating an emergency fund


  • Need to pay exit load

Best For – Parking idle funds or creating an emergency fund corpus.

#10. Ultra Short Term Debt  Mutual Fund

Short term debt mutual funds are best if you want to grow your money with low risk and have an investment period of 1 to 2 years. 

The short term debt mutual fund invests the pooled money in debt instruments like NCDs, G-Secs, T-Bills and CDs with residual maturity of up to 1 year. 

Expected Return 7% to 9%


  • Safe investment option 
  • Diversified portfolio
  • Professional fund management


  • Need to pay fund management fees

Best For – Risk-averse individuals who want to create a corpus for asset purchase or retire a short-term loan.

Best Monthly Investment Plan With High Returns in India 2022

#11. Systematic Investment Plan (SIP)

SIP investments

Systematic investment plans or SIP lets you invest a low fixed amount of money every month in mutual funds in a regular manner. 

The minimum SIP investment amount is Rs. 500 which you need to pay every month. This gives you the flexibility to set the SIP date on your salary day so that the investment happens automatically.

The fixed investment period can be set to quarterly, monthly or weekly payment options. 

Regular SIP investments if done in equity mutual funds for a long time period of over 5 years has the potential to generate stellar returns. 

Expected Return – 14% to 16%


  • Rs. 500 minimum investment amount
  • Flexibility to change investment amount and frequency


  • Prolonged investment period

Best For – Salaried person who wants to create a corpus of fund to fulfill his investment goals

How to Pick Best Investment Plan in India 

#1. Start With Knowing Your Investment Goals

Different investment options have varying benefits and cater to different types of investment goals. Before you pick any one of them you should know your investment goals.

Investment goals are defined financial objectives for which you need money. The investment objectives differ from person to person and are closely related to live events. 

For example, you can have the following investment objectives

  • Creating a corpus of fund for life after retirement
  • Creating a wealth fund for children’s foreign education & marriage
  • Building corpus of money to buy a house, car or start a business
  • Creating funds for own wedding, going on an exotic vacation or retiring a loan 

You need to be absolutely sure of your investment goals and the amount of money that you need.

#2. Check Your Risk-Taking Capacity

Next your need to know your risk-taking capacity because then you will be able to grow your money comfortably. 

If you are an aggressive person who loves risk-taking and does not mind losing a part of your capital then you pick equity and equity-based investment plans. Equity is a high-risk and high-return investment option. 

But if you do not like market fluctuations or losing your principal amount then you need to earn money through interest-bearing debt instruments. Debt investments have assured interest income and maturity value.

If you are a moderate investor who can risk a small portion of the principal then you should look for hybrid mutual funds plans. Hybrid plans protects your funds by investing in debt but simultaneously capture higher returns from small equity exposure.

#3. Understand the Investment Time Period  

The larger the wealth corpus you need the longer will be the investment horizon. The investment period impacts your choice of the asset.

Long term investment can generate multi-fold returns by investing in high growth equity instruments. Whereas, short-term returns can only be generated for low amounts and safely through debt.  

#4. Check Historical Performance

Before you invest in any plan, check the 3-year and 5-year historical returns. The future returns are not dependent on the past returns but they give an indication of the performance of the particular investment plan.

Invest in plans that have given consistent returns so that you know whether your expected returns are in line with the fund performance.

Final Words

Those were the best investment plans with high returns that have the capacity to fulfill your various investment goals.

Make sure that you know your investment objectives, tenure and risk appetite before you pick any one of the investment plans.