HDFC Children's Gift Fund

HDFC Asset Management is expanding its fund family with the launch of HDFC Children's Gift Fund. An open-ended balanced fund, it aims at building a sizeable asset base for meeting children's education expenses. With a minimum amount of Rs 3000, investments can be made in favour of the children below 18 years of age. The initial offer has been extended till February 9, 2001. Investments in the fund entail a lock-in of three years or when the unitholder attains 18 years of age, whichever is later. Planning for your child's future Saving for your children's future is as important as dreaming for them. Apart from the growing avenues for higher education, the costs of these options have been steadily increasing. Surely, by the time your child wants to take up the course or degree of his choice, paying for it should not be a deterrent. Hence, it is imperative that you start building a sizeable nest egg for the future with regular investments. The scheme offers systematic investment with a minimum investment of Rs 1000. The table presents the estimated cost of higher. Investment Details Investments in the nature of gift can be made in favour of children below 18 years of age. After the lock in, a unit holder may redeem units at a NAV related price, or transfer the units in favour of a person less than 18 years of age. On redemption, the amount would accrue to the unitholders and would not be clubbed with the parent's income. Pre-mature redemption under exceptional circumstances is permitted. The Plans - Saving and Investment Depending on your investment horizon, the fund offers two flexible plans - Savings and Investment. Savings Plan This option lays emphasis on steady returns with lower risk. Thus, the scheme would take a predominant exposure to debt and money market instruments at 80% of the corpus, while equity instruments would normally account for 20% of the corpus. With this al