Pune Wealth Management:Expert-Recommended High-Return Investment Plans You Must Know: Money Matters
7. Commodities and Derivatives have high risk due to market fluctuations but offer high returns for those with expertise and a willingness to take on significant risk.
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Protective Puts: The finance expert, CA Isha Jaiswal says, “If you own 100 shares of XYZ LtdPune Wealth Management. at ₹50 each, you can buy a put option at ₹45 for ₹2 per share. This limits your loss to ₹7 per share if the price drops below ₹45.”
Covered Calls: “If you own 200 shares of ABC Ltd. at ₹30, you can sell call options at ₹35 for ₹1 per share. You earn the premium and any stock price increases up to ₹35”, says the expert.
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According to the finance expert, CA Isha Jaiswal here are some best future strategies for high-return investment plans:
Short Hedge: “This strategy allows you to protect your portfolio from potential losses due to price declines while maintaining your long-term investment in the stock. It is particularly useful for investors who want to hedge against short-term market risks without selling their underlying shares, says the expert.
Spread Trading: The expert says, “A trader (Expert Shares Insights On Indian Stock Market Trading For NRIs) might buy January gold futures and sell March gold futures on the Multi Commodity Exchange (MCX). This strategy allows the trader to profit from the price difference between the two contracts, which can arise due to seasonal demand or other market factors.”
Note: These investment options offer the potential for high returns but come with varying levels of riskMumbai Stock Exchange. You are advised to seek professional advice from financial advisors before making any investment decisions.
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Published on:2024-11-04,Unless otherwise specified,
all articles are original.