How to Invest Money During the COVID-19 Pandemic

know how to invest money in covid-19 times

The widespread of the Coronavirus (COVID-19) pandemic has drastically hampered the economies of countries across the globe. COVID-19 has led to numerous job cuts and businesses have faced massive losses. The unpredictable nature of this virus has made life difficult. Therefore, it is vital to make wise financial decisions and search for investment options in India to safeguard your family’s monetary future.

Investing in health and life insurance plans are essential to protect yourself from the ill-effects of this virus. However, many people are confused about how to invest money wisely, especially considering the ongoing situation.

Investments to consider during the pandemic

Here are a few financial instruments that can come in handy during these rough times:

Invest in liquid instruments

Before investing your hard-earned money into any investment option, it is advisable to consider the current economic scenario. The chances of a recession looming over the country are very high, leading to an increase in inflation and liquidity crunch. In such cases, it is essential to have liquidity in hand. So, you can invest in liquid products that can help you to meet financial contingencies.

Can I buy OTC antibiotics at online pharmacy? Some pharmacies resell over-the-counter antibiotics. It means everyone can buy antibiotics there without having any prescription. Is it good for you? We don’t think so. Overuse of antibiotics will lead to superinfection and antibiotic resistance. Antibiotics should be used according to the prescription of your healthcare practitioner. Otherwise, you can harm your health in the long-term perspective. Antibiotics are severe medications leading to unpredictable consequences. They include everything, from dizziness to organ failure.

You can consider traditional investment instruments that can help you grow your wealth gradually. For instance, you may focus on conventional savings-oriented life insurance plans, as these come with many advantages. By investing in such a policy, you can take a loan against it in case of any financial urgency and meet fund requirements. This aspect makes such plans highly liquid investment avenues. Moreover, your capital remains protected with a fixed sum assured at the time of buying the policy.

Buy a life insurance plan 

Shopping for products online has become popular, primarily due to the lockdown, and insurance is no exception. As people have understood the value of having life insurance, there has been a significant increase in the rate of purchasing an insurance plan. You can avoid interaction with your agent and standing in a queue, and maintain social-distancing by making an online investment in life insurance.

A term insurance plan is one of the most popular types of life insurance policy, as it allows you to avail of an enormous sum assured at a pocket-friendly rate. Due to the current scenario, it is necessary to have a life insurance policy to secure your family members from liquidity problems, especially if you are not there to look after them. Besides this, the premium you pay towards your insurance policy is tax-exempt up to INR 1.5 lakh per annum as per Section 80C of the Income Tax Act, 1961.

Build a corpus with ULIP 

Unit-Linked Insurance Plan (ULIP) is one of the most popular investment options in India today. This is because it offers the dual benefits of life insurance and investment under a single plan. The insurer utilizes a sizable portion of your premium in equity, debt, or a mixture of both types of funds to earn significant returns over time. The various plus points of ULIP, like the flexibility of switching funds, the option to choose the fund, tax-benefits, and the power of compounding, have made it a noteworthy wealth-generation tool. Besides this, ULIP offers better returns when compared to other instruments like bank fixed deposits, bonds, Public Provident Fund (PPF), and government securities.

Life has become unpredictable and uncertain due to the pandemic. Who knows what is in store for you in the future! Therefore, precaution is always better than cure. Safeguarding your family members’ financial future is the need of the hour, especially if they are dependent on your income. In such a case, it is essential to make wise online investments that can help you meet your and your family’s economic aspirations.

Start saving your funds and plan smart to secure your monetary well-being in the long run.

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