What is the best way to invest Rs.1 Lakh and get good returns

Whats the best way to invest Rs.1 Lakh and get more money back than a fixed deposit or regular saving account?

Personally for me, I find that the fixed deposits and stock investments are good. Fixed Deposits are slow, but safe. Also there is risk in investing in stocks as they carry a lot of risk. But without a little bit of risk, no rewards, which is why I suggest you should get a mutual fund.

Mutual funds are a group of stocks picked by PROFESSIONAL money managers in which you or any other investor can buy. Because money from a lot of people are pooled together, you can afford to buy more stocks as a group than individually.

The good:- Professionals manage your money, so less worry for you.
- Most banks offer these, quite reliable
- You can pick which ones to invest in, some safer ones would be "banks, grocery stores, electrical companies, telephone companies,..." Places or services that you use on a daily basis
- Pretty good returns

The bad:- Like life, nothing is guaranteed, if someone guarantees you a return of 5%+ per annum, they are cheating you.