6 Best SIPs For Child's Education

Best diversified funds will make sure that your corpus is not eroded and receive decent returns even when markets are down.

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Systematic Investment Plans (SIPs) are one of the best ways for parents to build a corpus over time for child's education and marriage. Mutual fund SIPs can be a good bet when considered for the long term if you have best funds in your portfolio.

Best diversified funds will make sure that your corpus is not eroded and receive decent returns even when markets are down.

As the cost of education is reaching sky high, it becomes difficult to manage finances for children's education and other expenses. It is best if parents are prepared well in advance to overcome the cost of education and inflation. Investing only in fixed deposits, PPF, EPF may not tackle the rise in inflation.

Here are some SIPs which you can consider to build a corpus over time.

Kotak Select Focus Fund

Kotak Select Focus Fund is a large cap equity mutual fund. The fund is ranked number one by Crisil and four-star rating by Value Research Online.

The Fund was launched in 2009 and has given a return of 14.52 per cent since its launch. The portfolio of the fund is strong and hence those looking at long term returns, could go in for this fund. Parents with children aged below 10 years can consider this fund.

The last three-year returns of the fund has been close to 23.83 per cent while, five-year return is around 19.04 per cent.

Mirae Asset Emerging Bluechip Fund

Mirae Asset Emerging Bluechip Fund is ranked number one by Crisil under Small and Mid-cap equity funds and has a five-star rating from Value Research Online.

Individuals can start to invest in the fund with a sum of Rs 5,000 and a monthly sum of Rs 1000 thereafter. Investors can give 6 post dated cheques for investing in the Systematic Investment Plan.  

The last three-year returns of the fund has been close to 39.79 per cent while on average each year, while the one-year return is around 21.96 per cent which is very good when compared to other funds.

The fund will attract an exit load of 1 per cent if the fund is redeemed within 365 days of the investment.

The portfolio of the fund consists of stocks like Indusind Bank, HPCL, Kotak Mahindra Bank.

 

Birla Sun Life Frontline Equity Fund

The fund is ranked number two by Crisil and has five-star rating by Value Research Online.

Investor can give 6 post dated cheques for investing in the systematic investment plan. You can also invest online in the fund for which you can check with the mutual fund house.

The Fund was launched in 2002 and has given a return of 22.55 per cent since its launch.
The last three-year returns of the fund has been close to 18.87 per cent while, five-year return is around 16.82 per cent.

Principal Emerging Bluechip Fund

Principal Emerging Bluechip Fund is ranked number one by Crisil under Mid-cap equity funds and star four-star rating by Value Research Online.

Parents can start to invest in the fund with a sum of Rs 5,000 and a monthly sum of Rs 1000 thereafter.

Investors can give 6 post dated cheques for investing in the systematic investment plan.

The last three-year returns of the fund has been close to 34.95 per cent. The Fund was launched in 2008 and has given a return of 30.13 per cent since its launch.

 

Canara Robeca Emerging Equities

Canara Robeca Emerging Equities is small cap fund and is ranked number two by Crisil and star four rating by Value Research Online.

The minimum SIP Investment that can be made is Rs 1,000. The last three-year returns of the fund has been close to 40 per cent on an average each year.

The Fund was launched in 2005 and has given a return of 18.17 per cent on an average each year since its launch.

The portfolio of the fund consist of stocks like Force Motors, Century Textiles, and Engineers India.

 

ICICI Prudential Balanced Fund

ICICI Prudential Balanced Fund is ranked number three by Crisil and has a four-star rating from Value Research Online.

Individuals can start to invest in the fund with a sum of Rs 5,000 and a monthly sum of Rs 1000 thereafter. Investors can give 6 post dated cheques for investing in the Systematic Investment Plan. 

The last three-year returns of the fund has been close to 20.47 per cent while on average each year, while the one-year return is around 13.01 per cent.

The fund will attract an exit load of 1 per cent if the fund is redeemed within 365 days of the investment.

The portfolio of the fund consist of stocks like Bharti Airtel, HDFC Bank and Coal India.

 

 

Disclaimer

The article is not a solicitation to buy, sell in securities or other financial instruments. Greynium Information Technologies Pvt Ltd, its subsidiaries, associates and the author do not accept culpability for losses and/or damages arising based on information in this article.

Read more about: sip, mutual funds
Story first published: Saturday, November 5, 2016, 13:07 [IST]
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