@Tarun Hey, You just summed up my post in few words "Don't put all eggs in one basket" as per a common saying. So, it will definitely turn to be more fruitful if one invests at different places rather than in one type of investment only. The best idea to follow is to invest as per our own: Financial goals: Short term and long term Risk tolerance: analyse how much risk taking capacity one has. No risk, low or moderate risk or high risk. You'll get the choice of investments options there itself. Surplus funds: How much money one is willing to invest? Period of investment: For how long you wish to invest, very short, moderate or longer time period. Once we ask ourselves answers to the above 4 important queries, choosing the right investment becomes much easier. Right! Anything you wish to add upon, feel free to do so.