Do you need dedicated Child Mutual Funds to plan for children's education?
Most financial policies or insurances that we take usually cover the interest of your child as well they might provide you funds for your child's higher education or for their wedding.
However, most
mutual fund advisors find this a little useless and they believe that these policies are inappropriate. As these schemes cant plan for your child's goals.
Every investment has two aspects one is the economical aspect and the other one is an emotional aspect. Plans which are solution-oriented like child's mutual fund play with your emotions. One should not just fall for these as it says, child. Before investing you should understand where and how do these schemes invest and what's the best suitability.
The only main attraction of the child's mutual funds are the lock-in periods due to which they cannot take their money out even if the market falls or they are in an urgent need.
Such schemes do not allow you to withdraw before five years or until your
child is a major depends upon what so ever happens earlier.
Therefore such investments too are a long term investment in which you cannot withdraw even if the market runs low or you are moving out. Mutual fund advisors say that every investment is a combination of both equity and debt. Their portion will depend on the risk tolerance and the time in hand.
Being focused towards your goals and you follow up on your investment on time then you can enjoy the benefits of equity and debt plans both.
Now create your own portfolio depending on your risk appetite and horizon. Before choosing the child's mutual fund make sure that it is actually beneficial to you and you don't just jump into making any decisions in a hurry.
Taking proper advice before taking any investment plan or before putting your money anywhere is very important so try to take advice from financial advisors. We at PTIC help you choose the best mutual fund for you to invest in for your child's future.
We have a panel of experts that take you through the pros and cons of every plan and then help you in analyzing what's best for you. Don't wait for too long because life is too short and it doesn't wait for anyone visits the nearest PTIC branch today and choose what's best for you. Eagerly waiting at PTIC to provide you with the best experience of investing.
