Hi,
I have planned something for my new born daughter however i am confuse so thought of getting help from Pro.
I have started investing in ICICI GOLD funds for Rs.5000 everymonth and planned to increase the same by 10% every year and i did it for almost an year.
Now after she born i thought of diversified the funds so have reduced the investment in ICICI GOLD funds to Rs.3000 and started a new investment of Rs.3000 in ICICI balance funds growth where they have 70% exposure in equity and 30% in debt.
the good things about my investmemt is that i dont have any long lock in period and can redeem the same after a year.
secondly my 100% amount is getting invested and i am not being charged anything extra.
my objective is i am planning to invest for my daughter higher education and her marriage which will take place after 18 and 25 years respectively so i have a long horizon until and unless something goes wrong.
Now my conern is if i redeem the same after 18 and 25 years the amount would be taxable and will come to approx 30% bracket(i am not sure about this).
if this happens my plan to save for her will go for a toss so should i go ahead and browse some ULIP plan where the total amount is non taxable and will give me income tax rebate now also.
I am not very much inclined about the tax saving part or Life insurance as my home loan, term insurance and health insurance is taking care of it.
please help me to understand the complexity.
thanx
rahul