As a parent, you’re bound to dream of fantastic futures for your children. A large factor that determines just how great that future will be is the quality of education you can provide for your child. No matter what field your child eventually decides to pursue, being able to facilitate their dreams by not limiting the options they can consider for higher studies is the best thing that you can do to ensure their success. After all, nothing beats being able to study at the best university in the field, whether that’s in India or abroad!
It is understandable to sometimes balk at the idea of higher education, purely because one cannot always predict one’s financial status. Life always presents a series of ups and downs and you never know where you will be in the future, when your child is ready to pack his/her bags and go off to college. This is why it is important to plan ahead so that no matter what the circumstances may be, you can still provide the future you’ve always dreamed of.
One of the easiest, and most effective, ways to do so is to invest in a ULIP. Here’s why they can help like no other investment:
1. High ROIs
One of the reasons why people invest in ULIPs is because they offer a high return on your investment. Ultimately, once the policy matures, you will have a certain lump sum of money that you can use for whatever you’ve set it aside for. This really comes in handy for large expenses. With a ULIP policy in place, you can allow your child to focus solely on his/her dreams, and not worry too much about the financial side of things.
2. Shorter Term Periods
Another reason why ULIPs are so sought after is because they offer shorter term periods than most other investment options. The minimum lock in period for many ULIPs is 5 years. This allows you to truly create comprehensive five year plans for yourself and chart out the growth in your funds and in your family accordingly. Once your child is of a certain age and has begun to show an aptitude or interest in certain fields, you can plan out your investments accordingly and ensure that his/her future is secure.
With a ULIP, you can decide how much you want to invest in the policy on the basis of the kind of cover you are looking at. For instance, if your child wants to pursue biotechnology, you may need larger funds to support that dream when compared to your child wanting to study media. Colleges specializing in different fields often have different fees structures so you can identify the right investment amount for yourself based on these variables.
ULIPs are known for their transparency. As an investor with growing needs, you’re bound to worry about the state of your funds from time to time. With ULIPs, you can monitor those funds at your discretion and watch them grow. This can give you a more accurate idea of the kind of cover or growth to expect by the time the maturity period comes through. Having a policy that is transparent also allows investors to feel more in control of what they are doing. This goes a long way in terms of planning for the future as well as being self-assured about the steps you have taken to secure your family’s future. With a lighter heart comes more happiness and the ability to live in the moment rather than fretting about tomorrow.
A ULIP can allow you to let your child concoct daydreams that are larger than life. With a strong sense of security in place, and information about your fund’s performance right at your fingertips, you can face the future with a brighter and more confident outlook.