Saving for your child's future

Child-centric investment products suit those who cannot maintain financial discipline

Nowadays, there are multiple advertisements that tell you to invest, save and buy policies for your children. With Children’s Day on Tuesday, expect more such advertisements. For good reason child-centric investment products have emotional appeal. Individuals tend to hold their savings longer if the investments are specifically for children, which helps them get better returns. Fund managers, on the other hand, can take long-term investment calls. “If you call a scheme a child fund, there is a greater propensity to hold that fund for a longer period because parents are reluctant to touch money that is meant for one of