Best High risk investment plans | Fusion - WeRIndia

High-risk investments give better returns compared to regular 8-10 per cent returns. However, as the name suggests, they have high risk. Here are some high risk investments which are considered best. These are not suitable for investors who want to have low risk.

Foreign Markets

Investment in foreign markets is allowed by the Indian government. According to RBI regulation, you can invest up to $200,000 (around Rs 1.2 crore) abroad in a financial year. You can take do the investment through a broker. The main risk in investing in foreign markets is the exchange rate risk.

Currency Markets

Trading in forex market through currency trading is also a good option. You can make money in falling rupee by trading in the forex market. This is not however an easy task. Decisions must be taken after careful thought and planning with expertise.

Futures and Options

It is quite possible to make money even in the bear market. In a futures contract, individuals agree to buy or sell shares at a certain price on a future date. The loss will be restricted to the premium paid.

Commodities

There are many valuable commodities that can give good returns. Investing in metals like aluminum, copper, nickel, and precious metals such as gold, silver etc. can give great returns. A separate Demat account is necessary to trade in commodities.

Corporate FDs

Instead of a normal FD, you can invest in corporate FDs which provide higher interest rates. However, these FDs offer no guarantee even on the principle invested. The interest rate on corporate FDs depend on the rating on the deposit. The lower the rating, the higher the returns and risk.

Investments in sector mutual funds

Investments in sector mutual funds like Pharma mutual funds or FMCG mutual generally have a high amount of risk and returns.

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