Mumbai, July 21 -- Is your money doing one of two things: snoozing in a bank deposit that barely keeps pace with inflation after tax, or chasing the latest promise of outperformance - AI stocks, derivatives or crypto?

Indian households still park 43% of their financial assets in bank deposits, according to RBI data. At the other extreme are risk-chasers. Despite nine in 10 traders losing money, SEBI data shows the equity derivatives segment recorded an average daily traded value of roughly Rs.2.63 lakh crore in FY25, more than double the Rs.1.20 lakh crore in the cash market. Retail investors account for about 35% of derivatives volumes.

Neither extreme builds wealth. Bank deposits preserve nominal capital but often lose purchasing powe...