Himani Chowdhary's Guide to Child Investment: Secure 1 Crore in 18 Years

In the ever-evolving world of finance, staying informed about smart investment opportunities is crucial, especially when planning for your child's future. Himani Chowdhary, a leading finance influencer, shares three effective investment schemes that can help parents accumulate a substantial fund of 1 Crore for their child over 18 years.

1.Gold Sovereign Bonds: A Golden Opportunity

Chowdhary highlights the Gold Sovereign Bonds scheme as a lucrative option for long-term investment. With a minimum investment of 1 gram and an 8-year scheme duration, these bonds can be purchased directly from the RBI or through a bank app. The major advantage of this scheme is that gains are not taxed if the investment is held until maturity. Additionally, investors earn an extra 2.5% interest, which is taxable. By buying 10 grams every year, one can expect to accumulate around ₹45 lakhs after 18 years.

2. Public Provident Fund (PPF): A Secure Choice

The PPF is a popular choice due to its security and tax benefits. With a minimum investment of ₹500 and an 8-year scheme, investments up to ₹1.5 lakhs are exempt under Section 80C, and the returns are not taxed upon maturity. By investing ₹75k annually, an investor can expect around ₹30 lakhs after 18 years, making it a reliable option for securing your child's future.

3. Index Fund: Flexibility with Growth

For those seeking more flexibility, Chowdhary recommends the Index Fund. With a minimum investment of ₹500 and no lock-in period, this scheme invests in the top 50 companies, offering a diversified portfolio. While there is a tax of 10% on gains if sold after a year, a systematic investment plan (SIP) of ₹10k monthly can lead to around ₹70 lakhs in 18 years, demonstrating significant growth potential.

4. Bonus for Girl Child: Sukanya Sammridhi Yojana

Chowdhary also mentions the Sukanya Sammridhi Yojana, exclusively for the girl child. With an annual return of 8.2% and similar tax benefits as the PPF, this scheme is an excellent choice for parents of girls, ensuring a bright and secure financial future for their daughters.

View this post on Instagram

A post shared by Himani Chowdhary | Finance (@thehimanichaudhary)

Himani Chowdhary's insights into child investment schemes offer a clear roadmap for parents to build a substantial financial corpus for their children's future. These schemes not only provide financial security but also encourage disciplined savings, ensuring that your child is well-equipped to face their financial needs as they grow.