Financial Health Check

Is there any plan or scheme in the mutual fund industry or anywhere else for the retail investor where the capital is assured and risk is limited to lock in period?
P.R

Government Securities Schemes of mutual funds are quite safe, liquid and offer a market rate of return (around 6 per cent) tax free in the hands of investors. 8 per cent taxable bonds of RBI are also safe and yield decent return, though there is a lock in period of six years. A deduction up to Rs 15,000 under section 80L is available on the interest earned and there is no tax deducted at source. For senior citizens of over 60 years, 9 per cent taxable savings scheme 2004 has been recently launched where a maximum of Rs 15 lakh can be invested. There is a lock of five years with a facility for premature closure after one year by paying a penalty of 1.5 per cent interest. Thus you get 7.5 per cent interest instead of 9 per cent if you close the account. This investment is also safe and the returns guaranteed by the government.

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