Nowadays, developments in our financial sector have seen the introduction of numerous investment products to a point where one can easily get overwhelmed given the choices. As such, it is important that a decision to invest your hard earned should only be made after careful consideration and research. However, one investment option that has stood the test of time is a fixed deposit account and in particular the Kingdom Bank Fixed Deposit Account.
A Fixed deposit account can be termed as a financial instrument offered by banks that pays a fixed rate of interest over a fixed period of time. It essentially involves depositing funds in an account for a specific period of time say three or six months during which you earn a fixed interest rate that has been agreed upon with the bank.
Over the years, fixed deposit accounts have emerged as an attractive investment option. This is largely due to the fact that they are a secure and reliable means of growing your wealth.
Here are some reasons why you should choose the Kingdom Bank fixed deposit account.
Better Rate of Return
The Kingdom Bank Fixed deposit account is currently offering an interest rate of 15% which is a better rate of return than a good number of investment vehicles in the market.
Not to mention that the returns are guaranteed as opposed to other investments which are largely affected by market volatility. This means that as an investor, you can be able to plan your finances effectively.
Flexibility
A fixed deposit account unlike some other investment options offer one the flexibility to choose the period that one can lock in their funds. One can choose from 3 months, 6 months, 1 year or even a longer period of say 5 to 10 years.
Other than the period, Kingdom Bank also offers one the ability to choose the amount one would like to fix in the account depending on your budget. You can be able to save as little as Ksh. 50,000 and build your wealth from there.
Diversification of Investment
There is an adage which states, don’t keep all your eggs in one basket. This popular saying refers to the fact that one should always endeavor to reduce risk in whatever they are doing. The same applies when it comes to investment where fixed deposit accounts offer you an opportunity to diversify your investment portfolio.
By allocating some of your funds to a fixed deposit account which has a low risk. One can be able to mitigate risk from other riskier investments and bring stability to your portfolio.
Easier Access to Funds
A fixed deposit account offers one an easier access to their funds in case of an emergency. Whereby all one has to do is communicate with their bank that they are in need of their funds and the same can be availed within a day.
This is as opposed to some of the investment options in the market which would necessitate finding a buyer for the asset to enable liquidation a process which can be time consuming.
Easy to Open
Fixed deposit accounts are probably one of the easiest investment products that one can take up. All one has to do is walk to their bank, agree on the interest rate and period and within a few minutes or hours have it up and running.
The documentation requirements are also minimal, making it convenient for individuals to start investing in fixed deposits. This is opposed to some of the investment options like unit trusts which require the help of a professional to get them up and running.
All in all, the Kingdom Bank fixed deposit accounts have been proven over time to be a reliable way and risk-free way of building your wealth. So, make the right choice and start investing today.
If you would like to learn more about the Kingdom Bank fixed deposit account, you can fill out your details here or call them on 0709 881 300 and someone will reach out to you to guide you on the next steps.