Investment
Secure
Download the Policybazaar app
to manage all your insurance needs.
Secure your child’s future with or without you
Start Investing
₹10,000/Month
& Get
₹1 Crore*
LIC Children's Gift Fund
LIC MF Children's Fund is a scheme from LIC Mutual Fund, built to grow a corpus for a child's future needs. Launched in November 2001, it has delivered since inception a return of 5.19% for the Regular Growth plan and 10.25% for the Direct Growth plan. The fund holds 80.85% in equity and manages ₹16.47 crore. As of 22-Sep-2026, the NAV was ₹38.4706 for the Direct-Growth plan and ₹34.1774 for the Growth plan.
Investing in your child's future:Nothing is more important than securing your child's future
We are rated++
15.8 Crore
Registered Consumer
53
Insurance Partners
7.16 Crore
Policies Sold
In-Built life cover
Invest ₹10k/month your child will get ₹1 Cr# Tax-Free*
-
Home
-
Life Insurance
-
Child Plans
-
Children's Gift Mutual Funds
- LIC Children's Gift Fund
Highlights of LIC Children's Gift Fund
- Very Small Corpus: With a corpus of just ₹16.47 crore, this scheme belongs to the category of very small fund corpus schemes. This could pose problems regarding diversification and liquidity during redemption.
- Long-Term Record: Over three and five years the fund returned 9.74% and 8.17%, respectively.
- Expense Ratio Well Above Average: At 2.38%, the fund's Regular Growth plan has a higher expense ratio than the 1.98% category average, while the Direct Growth plan charges 1.64%.
- Low Risk-Adjusted Return: The Sharpe ratio of 0.35 is lower than the category average of 0.49.
Key Information About LIC Children's Gift Fund
| Detail | Information |
| Fund House | LIC Mutual Fund |
| Launch Date | 12 November 2001 |
| Fund Age | Over 24 years |
| Total AUM | ₹16.47 Cr (as on 31 Aug 2026) |
| Fund Type | Open Ended |
| Benchmark | CRISIL Hybrid 35+65 Aggressive Index |
| NAV of the Fund | ₹38.4706 (Direct-Growth) and ₹34.1774 (Growth), as on 22 September 2026 |
| Return Since Launch | 5.19% (Regular Growth) and 10.25% (Direct Growth) |
| Expense Ratio | 2.38% (Regular Growth) and 1.64% (Direct Growth) |
| Riskometer | Very High |
| Risk Grade | Average |
| Sharpe Ratio | 0.35 |
| Return Grade | Below Average |
| Minimum Investment | ₹5,000 |
| Minimum SIP Investment | ₹200 |
| Fund Manager | Siddharth Panjwani (equity) and Pratik Shroff (debit) |
The ₹200 minimum SIP is among the lowest entry points in the children's gift fund category, making the scheme accessible to investors starting small.
Performance of LIC Children's Gift Fund
The performance of LIC Children's Gift Fund is presented below for its Regular Growth and Direct Growth plans. The returns are based on the latest available data as of 31 August 2026.
-
Regular Plan Growth
Period 1Y 3Y 5Y Since Inception Fund Returns 11.09% 9.74% 8.17% 5.19% -
Direct Plan Growth
Period 1Y 3Y 5Y Since Inception Fund Returns 12.02% 10.64% 8.98% 10.25%
Asset Allocation of LIC Children's Gift Fund
| Asset Type | Allocation |
| Equity | 80.85% |
| Cash & Other Receivables | 9.56% |
| Government bond & treasury bill | 9.59 |
Within the equity portion, the fund holds a large-cap bias.
| Market Cap | Allocation |
| Large Cap | 38.60% |
| Mid Cap | 28.00% |
| Small Cap | 15.80% |
Data as on August 31, 2026.
Top 10 Holdings of LIC Children's Gift Fund
| Company/Holding | Sector | Portfolio Weight |
| Government of India 7.38% Govt. Bond | Sovereign | 9.35% |
| TREPS / Repo | Cash & Other Receivables | 8.52% |
| Sun Pharmaceutical Industries Ltd. | Pharmaceuticals & Biotechnology | 4.82% |
| Bajaj Auto Ltd. | Automobiles | 3.68% |
| Endurance Technologies Ltd. | Auto Components | 3.49% |
| Torrent Pharmaceuticals Ltd. | Pharmaceuticals & Biotechnology | 3.23% |
| Mahindra & Mahindra Ltd. | Automobiles | 3.19% |
| Cummins India Ltd. | Industrial Products | 3.18% |
| Multi Commodity Exchange of India Ltd. | Capital Markets | 3.10% |
| Lumax Auto Technologies Ltd. | Auto Components | 3.09% |
Holdings as on 31 Aug 2026. Government securities occupy the largest position at 9.35%, ahead of every equity holding.
Invest More Get More
Invest ₹10K/Month YOU GET ₹1 Crores* For Your Child
Invest ₹8K/Month YOU GET ₹80 Lakhs* For Your Child
Invest ₹5K/Month YOU GET ₹50 Lakhs* For Your Child
Standard T&C Apply *
Sector Allocation of LIC Children's Gift Fund
| Sector | Allocation |
| Pharmaceuticals & Biotechnology | 13.31% |
| Electrical Equipment | 8.34% |
| IT - Software | 7.32% |
| Banks | 6.94% |
| Automobiles | 6.87% |
| Auto Components | 6.58% |
| Industrial Products | 6.15% |
| Finance | 4.54 |
| Consumer Durables | 4.09% |
| Capital Markets | 3.87% |
| Transport Services | 2.75% |
| Beverages | 2.74% |
| Retailing | 2.65% |
| Chemicals & Petrochemicals | 2.44% |
| Food Products | 1.91% |
| Healthcare Services | 1.84% |
Expense Ratio, Exit Load and Taxation of LIC Children's Gift Fund
| Category | Details |
| Expense Ratio | 2.38% (Regular Growth) and 1.64% (Direct Growth) |
| Exit Load | NIL |
| Short Term Capital Gains (STCG) | Taxed at 20% if redeemed within 1 year |
| Long Term Capital Gains (LTCG) | Gains above ₹1.25 lakh in a financial year taxed at 12.5% after 1 year |
FAQs
-
What is LIC Children's Gift Fund?
LIC MF Children's Fund is a mutual fund scheme designed for long-term investment towards children's financial needs. It holds 80.85% in equity with the balance across debt and cash instruments. Investors can also explore different options for mutual fund child plans if they are looking for diverse investment options. -
Does LIC Children's Gift Fund guarantee returns?
No. Returns are market-linked and depend on market performance. The fund returned 11.09% over one year under the Regular Growth plan and 12.02% under the Direct Growth plan. -
Why is the expense ratio so high?
The expense ratio is relatively high as the fund’s assets are spread over a smaller asset base, which can result in higher costs per investor. Regular Growth plan has an expense ratio of 2.38% and Direct Growth plan has an expense ratio of 1.64%. -
Can LIC Children's Gift Fund be used to plan for a child's education?
The scheme is for the long-term financial needs of children and can be considered for purposes like higher education. Investors can also look at different options for their child education plan and compare them based on their financial objectives and horizon.
Investment
Secure
Secure your Child’s
Career Goal
Career Goal
Start Investing ₹10,000/Month
& Get ₹1 Crore*
*Standard T & C Apply
Insurers Offering Child Plans
Disclaimer: Policybazaar does not endorse, rate or recommend any particular insurer or
insurance product offered by an insurer.
- SIP Calculator
- Income Tax Calculator
- Compound Interest Calculator
- NPS Calculator
- Show More Calculator
Child plans Articles
Recent Articles
Popular Articles
29 Sep 2026
ICICI Prudential Children's Fund (erstwhile ICICI PrudentialExplore the popular searches and stay informed
- Child Plan
- Annuity Plan
- Gift City Investment
- Guaranteed Return Plans
- Investment Plan
- LIC Calculator
- LIC
- NRI Investment Plans in India
- Pension Plan
- ULIP Calculator
- ULIP Plan
- 1 Crore Term Insurance
- Best Term Insurance Plan
- Term Insurance for NRI
- Term Insurance
- Term Insurance Calculator
- Life Insurance
- What is Term Insurance
- Home Loan Insurance Calculator
˜The insurers/plans mentioned are arranged in order of highest to lowest first year premium (sum of individual single premium and individual non-single premium) offered by Policybazaar’s insurer partners offering life insurance investment plans on our platform, as per ‘first year premium of life insurers as at 31.03.2025 report’ published by IRDAI. Policybazaar does not endorse, rate or recommend any particular insurer or insurance product offered by any insurer. For complete list of insurers in India refer to the IRDAI website www.irdai.gov.in
*All savings are provided by the insurer as per the IRDAI approved insurance
plan.
^The tax benefits under Section 80C allow a deduction of up to ₹1.5 lakhs from the taxable income per year and 10(10D) tax benefits are for investments made up to ₹2.5 Lakhs/ year for policies bought after 1 Feb 2021. Tax benefits and savings are subject to changes in tax laws.
#The investment risk in the portfolio is borne by the policyholder. Life insurance is available in this product. The maturity amount of Rs 1 Cr. is for a 30 year old healthy individual investing Rs 10,000/- per month for 30 years, with assumed rates of returns @ 8% p.a. that is not guaranteed and is not the upper or lower limits as the value of your policy depends on a number of factors including future investment performance. In Unit Linked Insurance Plans, the investment risk in the investment portfolio is borne by the policyholder and the returns are not guaranteed. Maturity Value: ₹1,05,02,174 @ CARG 8%; ₹50,45,591 @ CAGR 4%
+Returns Since Inception of LIC Growth Fund
¶Long-term capital gains (LTCG) tax (12.5%) is exempted on annual premiums up to 2.5 lacs.
++Source - Google Review Rating available on:- http://bit.ly/3J20bXZ
^^The information relating to mutual funds presented in this article is for educational purpose only and is not meant for sale. Investment is subject to market risks and the risk is borne by the investor. Please consult your financial advisor before planning your investments.