-4. Invest via SIP in mutual funds

Mutual funds that too via SIP (Systematic Investment Plan) route which is a disciplined way to investment is time and again suggested by experts to provide you enough corpus if you have a time horizon of around 20 years. In the last 4 years or so equity mutual gains have managed to provide appx 15% returns. It is suggested to bet in equity mutual funds only if your child’s higher education is to begin 5 years from now. Also, in the case when the market sees correction you can invest a lump sum amount to further take on the advantage of rupee cost averaging and hence better rates for you and sooner achievement of your goal.