Child investment plans are financial products designed to accumulate funds for a child’s future financial needs, such as education, marriage, or other milestones. These plans typically offer features like savings, investment growth, and insurance protection.
Investing in a child investment plan helps build a financial corpus to meet your child’s future expenses, ensuring they have access to quality education and a secure future. It also provides financial protection in case of unforeseen circumstances.
Child investment plans include education savings plans, child insurance plans, mutual funds for children, Sukanya Samriddhi Yojana (SSY), and Unit-Linked Insurance Plans (ULIPs). Each plan offers unique benefits tailored to different financial goals.
It is advisable to start investing as early as possible in a child investment plan to benefit from the power of compounding and to build a sizable corpus over time. Starting early also allows you to spread the investment over a longer period, reducing the financial burden.
