InvestorQ : Where do I invest money which will help for my child education?
priya Shah made post

Where do I invest money which will help for my child education?

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Tanya Mehta answered.
1 year ago
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This is a major concern for most of the parents, so planning well for your child’s education should be done as early as possible. In this competitive scenario, everyone wants their kid to get good opportunities and fulfill their dreams which is possible through proper education. So invest wisely to secure your kid future.

First and foremost thing to keep in your mind before the investment is the risk-appetite. This means that you should understand the level of risk you are ready to take while investing. Some investors are ready to take a gh risk to get high returns, but some investors do not prefer to bear the risk and so settle for fewer returns. So first you have to determine the level of risk you are ready to take and invest accordingly. 

Equity investment is the best form of investment for your child’s education as it gives the highest returns compared to other investment options. If you are investing very early and you have 15 or 20 years to lock your funds then only you can consider investing in equity mutual funds or equity stock.

To have a secured and fixed level of the investment amount, it is also advised that one should but some part of the investment in fixed income securities like Fixed Deposit, Recurring Deposit, Debt Fund, etc. These options give a fixed income generation at a regular interval plus a specified amount at the time of maturity. As a result, you finance the higher education of your child with this amount. I prefer to invest 30% in the equity market and 70% in fixed income securities. 


(Source: Yahoo.com )


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