I plan to invest Rs 10,000- Rs 15,000 every month for my child’s future. I may need this money 18-20 years from now and am hoping for an annual return of 10-15 per cent in the long run. What would be the better route of investing for me – child investment plans or some other funds?
Since you have a long-term investment horizon, invest in an aggressive portfolio and do so systematically. Avoid child investment plans. Instead build a portfolio with just this aim. As you come closer to your goal, lower the equity allocation and increase the debt exposure. The Value Research Aggressive Portfolio has an equity exposure of around 90 per cent.