How You Can Use Mutual Funds To Fund Your Child's Foreign Education

Mutual Fund

- Sudipta Mitu

In recent years, the desire to educate children abroad has taken strong root among Indian parents. There are several reasons for this. Admission to good colleges in India has become very difficult due to the high level of competition. Second, Indians are becoming more affluent. So, whether it is holidaying, or educating their children, they wish to head to foreign shores. And three, the desire to send their children to college abroad is often fuelled by the hope that their children will be able to settle abroad and lead a better quality of life.

How can you begin planning for this goal?

Parents will have to tackle a few issues here. One, the amount of money required is humongous, so they need to start saving and investing for it very early. But the problem is that when your child is very young, you have no idea which country, college or course he will want to join. This makes it difficult to estimate the amount that you should aim to save. At the same time, you can’t wait for your child to grow up and decide before you begin the investment journey. The best thing to do in the circumstances is that you choose the course and the country that you want your child to go to and begin saving for it. To be on the safer side, choose one of the more expensive countries and courses. Later, if your child chooses a less expensive country or course, it won’t matter. Having a surplus is always better than being in deficit.