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Raksha Bandhan 2022 Financial Gifts for Sisters: Raksha Bandhan, like we all know is a festival showcasing the beautiful brother-sister relationship that is celebrated in large parts of the country. And on such special occasion what can be better than gifting your sister the financial freedom? As there is nothing more empowering that being financially independent. With changing times the meaning of ‘raksha’ has changed from physical security to financial security. At a time of rampant job insecurity, covid pandemic and fear for recession providing a financial shield or financial ‘kavatch’ for one’s sister is very important.
To help you decide, india.com has narrowed down a few financial gifts and ideas that you can consider for your sister this year:
Fixed Deposits and Recurring Deposits are popular choices of investment in India. You can open either one of them in your sister’s name. An FD account helps you earn a fixed interest rate on a certain amount for a specific period, which is higher than that of a savings account. In the case of an RD, small payments have to be made monthly for a certain period.
You can buy your sister a health insurance plan that will ensure financial safety in times of medical emergencies. A decent health insurance plan would cover the cost of hospitalisation, daycare procedures, room rent and domiciliary expenses. It would facilitate a cashless hospitalisation facility.
One can rarely go wrong with gold but rather than gifting jewellery, the sibling can introduce her to sovereign gold bonds that are announced by the central government regularly. These interest-bearing bonds stay in the demat account of the holder which not only protects against theft but also allows the gold to stay in her account all the time.
In India, three main companies offer digital gold: MMTC-PAMP India, Augmont Gold Ltd and Digital Gold India.
Apart from traditional financial instruments, mutual funds are a great investment option. You can pick a mutual fund for your sister that has performed well in the last five years and invest in it if she is not an existing investor. It is best to choose a fund with a balance of equity and debt. If you choose an open-ended fund with no lock-in period, your sister will be able to redeem the amount as per her needs.
Your sister may be a student or working, you must introduce her to the capital market, guide her to invest a small amount in an Equity Index Fund to start her journey. The fund is passive and replicates the broad equity index. The best part is the lowest expense ratio. It’s a great gift indeed!
In case, your sister is on the brink of retirement or is already retired, you can guide her to invest in Multi-asset Fund which will diversify the investment into various asset classes. A single gift will give her exposure to most assets in the capital markets.
The gift of knowledge is the biggest gift of them all. Enrol your sister in a programme that will educate her on finance and help her understand various financial instruments and the calculations behind them. Like the famous saying goes, “An educated girl means an educated family and an educated family is an educated nation.”
By giving your sister a financial gift, brothers are not only given a chance to build and secure her future but an opportunity to help the nation too.
The history of the Raksha Bandhan festival goes back thousands of years and is embellished with myriad cultural context. Raksha Bandhan in Sanskrit represents a tie or knot of protection that a sibling promises his sister. On this auspicious day, sisters ritualistically tie a Rakhi on their brothers’ wrists and wish for their prosperity and well-being. In turn, the brother vows to protect and take care of his sister under all circumstances.
india.com wishes you all a very happy Raksha Bandhan!
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