Best Mutual Funds to Invest for Child Education
Child education expenses are increasing year on year. There are several best mutual funds to invest to bear expenses of child education. However, many parents make a mistake of investing in some or other mutual funds and cannot take maximum benefit from them. In this article I would help such parents to choose the best mutual funds to invest in their child education. I would also highlight which mutual funds are best based on child age and tenure of investment. I am recommending Top 5 Mutual Funds to invest for child education based on child age.
Also Read: Top 10 Best Performing Mutual Funds to invest in 2017
How I picked these best mutual funds to invest for child education
Once the child is born, child education is the first goal for any parent. Education became costly these days. Professional courses cost lakhs of rupees. Foreign degree is valuable these days. Hence, parents would like to ensure that they invest some money so that it does not burden them when such high fees needs to be paid. Here are some of the parameters I have chosen about picking the top mutual funds to invest for child education.
1) These mutual funds are picked based on highest returns received in the last 5 years, including the years where there was a downturn in stock markets.
2) Mutual funds that are rated by Crisil as Rank-1, Rank-2, Rank-3 and Rank-4 are picked for these top funds, list which indicates consistent performance in all market cycles.
3) Value research Online (VRO) rated these funds as 5 star, 4 star and 3 Star. Highest star rating indicates that these funds can perform well compared to its peers in various stock market cycles.
4) Filtered based on Mutual fund AUM (Assets under management) which has > 1000 Crores. This refers that more and more investors are investing in such funds create investor confidence about the fund.
5) Funds chosen based on the tenure of the investment. Since parents may need child education expenses at various phases, these funds are bifurcated based on the tenure of investment.
6) Some of the funds would be a repetition from my earlier recommendations as they continue to perform well.