Despite the rise in the market, Indians have confidence in property, gold and bank deposits

New Delhi| Despite the recent record rise in the stock market, Indians remain confident in traditional investment instruments. 79% of the total assets of these families are deposited in property, gold and bank FDs. Equity has just 5.8% investment.

According to Jefferies report, the wealth of Indian families has diversified over the years. Real estate remains the principal means of investment for Indian households, contributing 51.3 per cent of their total wealth. Gold ranks second with a share of 15.2 per cent and is followed by bank deposits, which account for 13.3 per cent of domestic assets. According to the report, provident fund (PF) and pension schemes account for 5.7 per cent and cash holding for three per cent.

There is less investment in equities, but retail investment in the stock market has increased through Systematic Investment Plans (SIPs). In this, people invest a fixed part of the monthly income in equity-linked schemes, thereby promoting disciplined and stable investments.

SIP investment reached an all-time high of 25,302 crore in October despite market fluctuations. This indicates that retail investors are committed to equity investments even in uncertain market conditions.

Real estate is considered a safe investment. Its price increases with time. Investing in it provides long-term returns, such as rental income or an increase in the price of the property. It also protects from the effects of inflation, as prices rise with inflation. Indians invest in real estate so that they can leave their property as inheritance to their children and families.