Sukanya Samriddhi VS PPF VS MF Child Plans

The launch of Sukanya Samriddhi Yojana (SSY) by the government for the girl child has sparked considerable interest given its tax benefit & interest rate higher than Public Provident Fund.

The SSY offers 0.75% higher than the 10-year government bond as against 0.25% by the PPF.
 For 2014-15, the interest rate for PPF is 8.7% while the SSY offers 9.1%. But, wealth planners believe subscribers should put money in this product along with an investment in equity products.

This is because interest rates could fall in the future. Given that the investors are investing for a period estors are investing for a period of 10 years or more, a combination of equity mutual funds & SSY will generate better returns.

Ms. Vishal Dhawan, Chief Financial Planner,Plan Ahead Wealth Advisors said,  “Depending on their risk profile, investors could use SSY along with a combination of equity mutual funds child funds to meet long-term asset allocation goals for their girl child“ 


Src: ET, Prashant Mahesh
Share:

No comments:

Post a Comment

Popular Posts

Blog Archive

Recent Posts

Featured Post

9 REASONS WHY THE MARKET IS FALLING..!

9 REASONS WHY THE MARKET IS FALLING..!   1 WEAK CORPORATE EARNINGS - QUARTER 2   2 CPI HOTTER THAN EXPECTED   3 S...