Child Future Savings Plan with Mutual Funds
Saving for a child’s future is one of the most heartfelt goals for any parent — whether it’s planning for higher education in India or abroad, their dream wedding, or helping them step confidently into adult life. However, with rising inflation and the growing cost of education and living, traditional savings alone may not be enough.
That’s where Mutual Funds for Children come into play — offering disciplined, long-term investment strategies to help parents build a substantial corpus over time.
Starting early means more time for your investments to grow, thanks to the power of compounding. Even small, regular investments in the right mutual fund schemes can result in a significant wealth cushion by the time your child turns 18 or 21.
At Avidity Services, we:
Here’s a breakdown of child-specific mutual fund categories currently available in the Indian market:
These are hybrid or balanced mutual funds specifically designed for children and come with a lock-in period till the child turns 18.
Ideal for long-term goals (5+ years), such as university education or international degrees.
Useful for needs within 3–5 years such as school admission, hostel fees, or study-related expenses.
We offer customized baskets of funds suited for:
For example, if your child is currently 5 years old and you wish to fund an undergraduate degree abroad by age 18, you can begin investing in:
Over the years, as your child approaches their teenage years, the portfolio can be rebalanced to reduce risk exposure.
Financial planning doesn’t stop at mutual fund investments. At Avidity Services, we also help you:
Classification of Kids Mutual Funds
| Bank Name | Fund Name | Fund Type | Investment Horizon | Risk Level | 3-Year Returns (CAGR) |
|---|---|---|---|---|---|
| HDFC Bank | HDFC Children’s Gift Fund | Children’s Gift Fund | Long-term | Moderate | 11.2% |
| HDFC Bank | HDFC Balanced Advantage Fund | Balanced Fund | Medium to Long-term | Moderate | 10.5% |
| ICICI Bank | ICICI Prudential Child Care Fund | Child Care Fund | Long-term | Moderate | 12.1% |
| ICICI Bank | ICICI Prudential Bluechip Fund | Large Cap Fund | Long-term | High | 13.0% |
| SBI Bank | SBI Magnum Children’s Benefit Fund | Children’s Benefit Fund | Long-term | Moderate | 10.8% |
| SBI Bank | SBI Equity Hybrid Fund | Hybrid Fund | Medium to Long-term | Moderate | 11.5% |
| Axis Bank | Axis Bluechip Fund | Large Cap Fund | Long-term | High | 14.2% |
| Axis Bank | Axis Long Term Equity Fund | ELSS (Tax Saving) | Long-term | High | 13.5% |
| Kotak Mahindra Bank | Kotak Child Care Plan | Child Care Fund | Long-term | Moderate | 11.0% |
| Kotak Mahindra Bank | Kotak Flexicap Fund | Flexi Cap Fund | Medium to Long-term | High | 12.8% |
| IDFC FIRST Bank | IDFC Children’s Gift Fund | Children’s Gift Fund | Long-term | Moderate | 10.7% |
| IDFC FIRST Bank | IDFC Tax Advantage (ELSS) Fund | ELSS (Tax Saving) | Long-term | High | 13.2% |
Whether your goal is funding your child’s dream college, sending them overseas for higher studies, or ensuring a beautiful wedding,
our team at Avidity Services is here to walk with you — every step of the way.
Start early. Stay disciplined. Let mutual funds build your child’s financial future.
