Business News Desk – Diwali, the festival of lights, is a time of celebration, happiness and gift giving. While sweets and traditional gifts are always cherished, why not make this year special by gifting something that will last a lifetime? Financial gifts provide not only immediate happiness to your loved ones but also long-term security and peace of mind. Whether it’s helping a family member build an emergency fund, starting an investment plan for a child, or gifting your parents a health insurance policy, these thoughtful financial gestures can make a lasting impact.
As a financial advisor, I often see clients struggle with financial stability and wish they were financially empowered earlier in life. This Diwali, we, at PersonalFN, encourage you to go beyond material gifts and choose gifts that can truly be life changing. In this article, we explore the 9 best financial gifts to give your loved ones, ensuring that the light of financial freedom continues to shine in their lives even after the festivities are over. Let us find out how you can make your Diwali gift Thoughtful, practical and impactful that will not only brighten your loved one’s day but also secure their financial future.
1. Let the future be filled with prosperity:
Gift stocks or mutual funds to your loved ones so that they can be on the path to wealth creation in the long term. By investing in equities they benefit from the power of compound interest and the potential for higher returns over time. For beginners, mutual funds offer professional management, making it easy to get started with less risk. Gifting stocks or funds can be a great way to inspire young family members to become financially literate and start building a secure future. This thoughtful gift isn’t just about the money – it’s an opportunity to foster financial independence and wealth-building habits that will grow over the years, just like Diwali lamps spread light.
2. Shine with Gold ETFs or Sovereign Gold Bonds:
Many people like to gift gold to their loved ones on Lakshmi Puja, because in our country gold is considered a symbol of Goddess Lakshmi. Instead of traditional gold jewellery, you can consider gifting a gold ETF or Sovereign Gold Bond (SGB). These financial instruments not only represent the value of gold but also provide additional benefits such as security, tax benefits and interest income (in case of SGBs). Unlike physical gold, these gifts do not come with storage or purity concerns, making them much safer.
3. Fixed Deposit or Recurring Deposit:
Gifting a Fixed Deposit (FD) or Recurring Deposit (RD) to your family and friends is a great option to help them build financial stability. Both offer guaranteed returns and minimal risk, making them perfect for those who prioritize safety. FDs offer a lump sum amount after a fixed period, while RDs allow regular monthly contributions, which is ideal for disciplined savings. These gifts could be perfect for elderly relatives who want a steady income or for younger family members who are just starting to save.
4. Secure your future with National Pension System (NPS):
This Diwali, gift your loved ones a secure retirement by contributing to a National Pension System (NPS) account. NPS is a government-backed pension scheme that offers a mix of equity and debt, ensuring balanced growth. Contributions are tax-deductible and grow over time, making this a thoughtful long-term gift. You can open an account for a younger family member or add to an existing account for parents or elderly relatives. It is a unique gift that shows concern for their future financial well-being, allowing them to enjoy their golden years without financial stress.
5. Protect health with health insurance, give the gift of peace:
The best way to show love this Diwali is to take care of the health and well-being of your loved ones. Gifting a health insurance policy ensures that they are financially protected in case of a medical emergency. With the rising costs of healthcare, even a single visit to the hospital can be financially difficult. Health insurance covers these expenses, thereby maintaining savings. This thoughtful gift gives peace of mind to your loved ones, prepares them for unexpected health challenges and helps them focus on the joy and glow of Diwali without any worries.
6. Brighten up life with term life insurance:
Term life insurance provides financial protection to families in case of untimely death of the policyholder. Gifting a term plan to a family member provides protection and ensures that their dependents are financially secure. Unlike other life insurance policies, term insurance is affordable and offers high coverage, making it ideal for starting a family. Makes a perfect gift for someone who does. This is a powerful way of showing your care and love, ensuring that the financial well-being of their loved ones is protected, even in their absence.
