BANGALORE: While some investors are inclined to take more risk than others, there is always a place for low risk investments as part of a properly-balanced portfolio. This need is particularly evident when the stock market turns volatile.

The relationship between risk and reward dictates that a low risk investment will also be associated with a low return.  This should be the expectation of the investor.  The most common types of low risk or no risk investments or safe investments include:

1. Savings Account

A reasonable place to keep your short term funds, but if you have a lot of money in a savings account then you need to consider a FD or some other instrument that can yield higher. Bank savings accounts are a very traditional, well secured and rather conservative form of investments.

You usually do not have a possibility to instantly withdraw your money, so, you should consider saving in such a way only funds that you do not need immediate access to. You should also know that most bank savings accounts do not pay off high returns, and you can’t gain any considerable profit with their help.