From the time the children are born, parents start worrying about their marriage or education. For this reason, parents start saving some money from the time their children are born to secure their future. However, due to a lack of good financial understanding, many parents keep these savings in bank accounts only, from where they do not get good returns. At the same time, every year the increasing inflation rate gradually reduces the value of these savings money. If you want to secure the future of your children. In such a situation, today we are going to tell you about a great investment formula of 7:20:12, with the help of which you can collect a total of Rs 69.9 lakh for your children in the future. Let us know about it in detail -
If a son or daughter has recently been born in your house. In such a situation, you have to invest by making an SIP in mutual funds using this formula of 7:20:12. After making an SIP in a mutual fund, you have to invest about Rs 7 thousand every month.
You will have to make this investment of Rs 7 thousand per month for 20 years. During this period, you can expect to get an estimated return of 12 percent annually on your investment.
In such a situation, if you invest with this formula of 7:20:12, you will have around Rs 69.9 lakh at the time of maturity after 20 years. You can use this money to provide higher education to your children or to get them married.
Disclaimer: Money invested in mutual funds is subject to market risks. Before investing in this, take advice from experts. If you invest in mutual funds without knowledge. In this situation, you may have to face a big loss. The returns on investments made in mutual funds are determined by market behavior.
(PC: ISTOCK)
