Research Synopsis Format Essay

Savings form an important part of the economy of any nation. With the savings invested in various options available to the people, the money acts as the driver for growth of the country. Indian financial scene too presents a plethora of avenues to the investors. Though certainly not the best or deepest of markets in the world, it has reasonable options for an ordinary man to invest his savings. One needs to invest to and earn return on idle resources and generate a specified sum of money for a specific goal in life and make a provision for an uncertain future. One of the important reasons why one needs to invest wisely is to meet the cost of inflation. Inflation is the rate at which the cost of living increases. The cost of living is simply what it cost to buy the goods and services you need to live. Inflation causes money to lose value because it will not buy the same amount of a good or service in the future as it does now or did in the past. The sooner one starts investing the better. By investing early you allow your investments more time to grow, whereby the concept of compounding increases your income, by accumulating the principal and the interest or dividend earned on it, year after year. The three golden rules for all investors are: †¢Invest early  Ã¢â‚¬ ¢Invest regularly †¢Invest for long term and not for short term This project will also help to understand the investors facet before investing in any of the investment tools and thus to scrutinize the important aspects of the investors before investing that further helped in analyzing the relation between the features of the products and the investors’ requirements. Who is investor? An investor is a person or entity that purchases assets with the objective of receiving a financial return. The assets an investor may buy range widely, but include stocks, bonds, real estate, commodities, and collectibles (e.g. art). The portfolio of an investor commonly includes a variety of assets that balance the rewards and risks of each investment. An investor is distinguished from a speculator, who seeks to make quick, large gains from price increases on risky assets. Generally, an investor has a longer time horizon for achieving a return, which may include regular cash payments from the income the asset generates, capital appreciation from the rise in the asset price, or bo Standing on the threshold of the economic revival of the Indian economy where the recovery and growth are already knocking at our door to usher the new order with a note of optimism. The potential of India as a market and as a manufacturing base continues to attract more and more interest of the world at large. Undoubtedly, lot of development is taking place in the investment pattern of the economy and its multiplier impact would be there to be witnessed over a period of years. Investment scenario is changing very rapidly. Emergence of modern instruments of investment like Mutual Funds, Systematic Investment Plan, RBI Bonds, and Infrastructure Bonds proves to be a better option for the investors in comparison to the old instruments of investment such as fixed deposits, savings, recurring deposits etc. This project deals with the thorough study of these modern instruments in respect of their returns, liquidity, and tenure & safety aspect etc.