Risk-Free Investment Option


I recently returned from onsite and had a cash of 25 lakh inr.

I'm planning for a flat in the next 6-12 months and I'm yet to start my search for that.

Can you please recommend a low risk investment option with better returns, other than just lying the cash in my bank savings account?

My wish list is

1. If I get some good deal for flat, I will withdraw money any time.

So, I need the flexibility, to convert the investment into cash within a week time.

2. I'm not interested in equities as the markets are quite shaky.

3. I'm ok to take minimal risk (max 10% loss).

4. I have previous holdings in Equities (3L) to Tax Saving MFs (7L) but they are into losses and I don't have any money/income other than these.

Thanks in advance.


Staff member
One thing you can do is to use a savings bank account with an "auto-sweep" facility.

Kotak Bank converts excess cash to fixed deposits of 6 months.

Currently Kotak Bank is offering 8.75% for 6 month deposits.

Of course, these fixed deposits are not very tax-efficient, but are risk-free and 100% liquid.