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Safe Investments with High Returns Options in UAE

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Investment plays a key role in wealth accumulation and financial security. Whether you are an individual with modest savings or someone with substantial funds, smart investment choices can grow your wealth manifold.

For UAE residents — both nationals and expats — the quest often revolves around identifying safe investments with high returns. This is crucial in an age where economic fluctuations and unexpected events can drastically impact savings.

This article aims to highlight the safest highest return investment avenues available in the UAE. With these investment options, you can ensure that your money not only remains protected but also grows significantly over time.

List of Safe Investments with High Returns

Investing in the right avenues can provide you with a stable future and financial security. For UAE residents, there is a wealth of options that combine safety with promising returns.

Here is a comprehensive guide to these investment opportunities -

UAE National Bonds

UAE National Bonds stand as one of the most sought-after investment options in the UAE. These are Shariah-compliant savings schemes offering potential returns. Governed by the National Bonds Corporation, they attract a broad audience ranging from locals to expatriates and even non-residents.


  • Shariah Compliant: These bonds ensure ethical investing in accordance with Islamic laws.
  • Potential for High Returns: While offering security, these bonds also present the possibility of considerable profits.
  • Flexible Tenures: Investors have the option to choose their investment period, offering adaptability based on individual financial goals.
  • Inclusivity: UAE National Bonds are open to a vast audience — from locals to non-residents.
  • Diverse Entry Points: Whether you're starting small or investing a substantial sum, you can find varied entry points that cater to different capacities.

Fixed Deposits

Fixed Deposits (FDs) are classic favourites in the financial world. In the UAE, banks offer these deposits to allow individuals to place a lump sum for a defined period, in return for a guaranteed interest.


  • Guaranteed Interest: FDs come with a predetermined interest rate, which ensures that there are no surprises at maturity.
  • Safe and Stable: As one of the safest investments, FDs are immune to market volatility.
  • Flexible Tenures: Banks offer a range of tenures for FDs, ranging from a few months to several years.
  • Accessible: FDs are easily accessible in the UAE, with almost all local and international banks in the UAE offering them.
  • Early Withdrawal: Although this option may come with penalties, FDs might allow early withdrawal if funds are needed urgently.

High-Yield Savings Accounts

Not just a place to store money, high-yield savings accounts provide substantially higher interest rates than traditional savings accounts.


  • Superior Interest Rates: As the name suggests, these accounts offer considerably higher returns on your deposits.
  • Instant Liquidity: Funds can be accessed anytime without penalties, offering both growth and liquidity.
  • Safety: These accounts are generally backed by reliable banks, meaning that your money is in safe hands.
  • Minimal Entry Requirements: You can easily open these accounts with a basic initial deposit.
  • No Lock-In Period: There are no terms binding your money, giving you the freedom to deposit or withdraw as you please.

Real Estate Investment Trusts (REITs)

REITs have emerged as a prominent investment tool for those keen on real estate without the need for massive capital or the challenges of property management.


  • Diverse Real Estate Exposure: With REITs, you can invest in a range of properties — from commercial spaces to residential complexes — without owning them directly.
  • Regular Income: REITs typically distribute a substantial portion of their income as dividends, ensuring regular income for investors.
  • High Liquidity: Being traded on major stock exchanges, REITs can be bought or sold and offer more liquidity than physical real estate.
  • Transparency: REITs are subject to stringent regulatory oversights, providing transparency in operations.
  • Diversification: They offer a chance to diversify one's portfolio beyond traditional investments.

Capital Guarantee Plan

Combining the best of both worlds, the capital guarantee plan ensures that the principal amount effectively remains untouched while still offering potential appreciation.


  • Principal Security: Your initial investment is safe and guaranteed to return.
  • Upside Potential: While securing the principal, there's an opportunity for added profits.
  • Dual Benefits: You can enjoy the combined advantages of insurance coverage and investment.
  • Versatility: Most capital guarantee plans allow you to tailor your plan’s duration and benefits to match your specific goals.

Recurring Deposits

Encouraging disciplined savings, Recurring Deposits (RDs) allow individuals to deposit fixed sums at regular intervals, earning an interest similar to FDs.


  • Disciplined Saving: RDs inculcate a habit of setting aside a certain amount regularly.
  • Competitive Interest Rates: You can earn attractive interest rates and see your savings grow over time.
  • Adaptable Tenure: With RDs, you can choose how long you wish to maintain it as per your financial aspirations.
  • Minimal Start: Even small amounts can be deposited, making RDs feasible for many.
  • Premature Withdrawal: While it may come with a penalty, there's a provision for early withdrawal in most cases.

Gold and Silver Investments

Rooted deeply in the culture of the UAE, investing in gold and silver has been a long-standing tradition and a hedge against economic uncertainties.


  • Tangible Asset: Unlike digital assets or stocks, you have a physical commodity.
  • Historical Appreciation: Over time, precious metals have typically seen upward trajectories.
  • Inflation Hedge: Gold and silver often act as shields against inflationary pressures.
  • Diverse Investment Forms: Whether investing in bars, coins, ETFs, or jewellery, you can always enjoy flexibility in the mode of investment.
  • Global Acceptance: The value of these metals is recognised worldwide, making them universally acceptable assets.

Risks Associated with Each Investment

Have a look at the table below to understand the level of risk associated with each investment -

Investment Option Risk Level
UAE National Bonds Low
Fixed Deposits Very Low
High-Yield Savings Accounts Low
REITs Moderate
Capital Guarantee Plan Low
Recurring Deposits Very Low
Gold and Silver Investments Moderate

The Right Time to Invest

Timing your investment is as important as choosing the right investment instrument. Economic stability, market conditions, personal financial standing, and future predictions all play a role. It's advisable to invest when the market conditions are favourable and your personal finances allow you to go for the investment without stretching limits.

Things to Consider While Investing

Investment, as we saw above, can be a powerful tool for wealth creation and preservation. However, diving into the investment pool without adequate preparation or understanding can be risky.

Here are some key aspects to consider before putting your hard-earned money to work -

  1. Understanding the Investment

    • Depth: Before investing, make sure that you comprehensively understand the product or asset class. This includes knowing its workings, potential returns, associated risks, and historical performance.
    • Research: Don't rely solely on hearsay or advertisements. Dive deep, read about investment from reliable sources, and consult credible financial publications.
    • Terms and Conditions: Every investment comes with its set of rules — from lock-in periods to withdrawal penalties — that must be understood to invest effectively.
  2. Risk Appetite

    • Self-Assessment: Everyone has a different threshold for risk. Some people can prefer the volatility of stocks, while others may prefer the steadiness of bonds or fixed deposits. Determine where you stand.
    • Balance: Your investment portfolio should reflect a balance between risk and return, tailored to your personal comfort level.
  3. Financial Goals

    • Short-Term vs. Long-Term: Are you saving for a down payment on a home in the next two years? Or are you looking at wealth accumulation for retirement decades away?  Your goals will dictate your investment choices.
    • Quantifiable Objectives: Instead of vague goals like 'I want to be rich', aim for clear, measurable objectives like 'I want to save AED 500,000 in the next 10 years'.
  4. Diversification

    • Spread the Risk: Distributing your investments across asset classes can provide a safeguard against unexpected downturns in any one sector.
    • Continuous Review: The market evolves, and so should your portfolio! Regularly review and adjust your portfolio to ensure continued diversification.
  5. Liquidity Requirements

    • Emergency Funds: Life is unpredictable. Make sure that you have sufficient liquid assets or savings for emergencies so that you don't have to prematurely withdraw from long-term investments.
    • Plan for Major Expenses: If you anticipate significant expenses in the near future like higher education or weddings, plan your investments to ensure liquidity when needed.
  6. Regular Monitoring

    • Stay Updated: Once invested, don't become complacent. Regularly monitor the performance of your investments.
    • Adjust Accordingly: Based on performance and changing personal or market situations, be ready to adjust your portfolio. Reallocate assets, if needed, to ensure alignment with your goals.

Bottom Line

While the allure of high returns is certainly tempting, prioritising safety ensures long-term financial security. The UAE offers diverse investment avenues that promise safe investments with high returns. However, it's essential to make informed choices tailored to your personal financial goals and risk appetite.

By staying informed and cautious, you can ensure a secure and prosperous financial future for yourself!

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