Happy Father's Day: 5 financial gift ideas for your Dad on this Father’s Day

Happy Father's Day: Father's Day is the perfect occasion to show your appreciation for the man who has always been there for you. While traditional gifts are always cherished, financial gifts can provide long-term benefits and also reduce a great amount of stress from your father’s head regarding financial planning.

Here are five financial gift ideas tailored to help your father grow his financial resources, and gain peace of mind by getting prepared for various aspects of life.

1. Mutual Funds SIP: Mutual fund SIPs (Systematic Investment Plans) can be a great way for your father to regularly invest in a diversified portfolio. This can ensure that he does not get stressed regarding the variations in market trends, as well as does not necessarily require a huge sum of money to acquire. One can even start with Rs 500 per month.

2. Fixed Deposits: Investing in government bonds such as the Reserve Bank of India's (RBI) floating rate savings bonds or fixed deposits (FDs) in banks can be a safe and reliable gift. These offer a fixed return and are a good option for the post-retirement phase or emergencies that require financial assistance to resolve, especially medical issues.

3. Gold Mutual Funds SIP: Though having gold in its name, it does not mean possessing gold in its physical form. It involves investing in the assets and the value, which is dependent on the gold mining companies, as it also involves acquiring stocks in the gold mining and production companies, Gold ETFs, and other gold-related assets. It can also reduce the risk associated with returns as it spreads the investment across such assets.

4. Building a retirement fund: Any individual needs assurance to have enough financial backing so that they can live a dignified life after formal retirement. It can be beneficial to aware your father regarding the ways to collect financial resources to support post-retirement life. There are multiple retirement saving fund schemes available across various life insurance companies, which can be consulted and availed.

5. Health insurance policy: Securing a comprehensive health insurance policy for your father can provide peace of mind and financial security against unexpected medical expenses. This can be an invaluable gift that ensures he has access to quality healthcare without financial strain. Furthermore, his family can also be strengthened financially in case of an unfortunate event.

It is entirely up to you to make a choice among the above options, or simply go for all as each has its bonuses by offering long-term benefits and also a key assurance to deal with finance-related matters.