SIP for Child

What is SIP for a Child?

A “SIP for Child” simply means investing in a mutual fund through monthly SIP to build money for your child’s future needs. This can be for their education, higher studies, first job, or even marriage.

Parents or guardians usually start the SIP when the child is young. As the child grows up, they can use this money to meet their important goals. It also helps children learn the value of saving and investing early, which is good for long-term wealth creation.

Top SIP Plans for a Child to Invest in 2026

Here are some of the best mutual fund schemes suitable for a child’s long-term financial goals as of 2026, based on performance and suitability.

Details of the Best SIP Plans for a Child

1. Aditya Birla Sun Life Bal Bhavishya Yojna Regular-Growth

   This scheme aims to grow your money by mainly investing in equity and equity-related instruments. A smaller portion goes into debt and money-market instruments. Returns are market-linked and not guaranteed.

   Parameters	Details
   Fund Name	Aditya Birla Sun Life Bal Bhavishya Yojna Regular-Growth
   NAV	₹ 18.12 (as on 1st April, 2026)
   AUM	₹1,156.97 Crs
   Expense Ratio	2.2%
   Return 5 Years	6.83%
   Minimum Investment	SIP ₹1000 & Lumpsum ₹1,000
   Risk Level	Principal at very high risk
   Launch Date	11th February, 2019
   Asset Allocation	Equity: 99.52%, Others: 0.48%
   Top Sectors	Diversified Consumer Discretionary Industrials Consumer Staples Energy & Utilities Financial Healthcare Materials Technology
   Top Holdings	ICICI Bank Ltd HDFC Bank Ltd Reliance Industries Ltd Infosys Ltd Axis Bank Ltd Bharti Airtel Ltd Maruti Suzuki India Ltd Larsen & Toubro Ltd State Bank of India Hindalco Industries Ltd
   Fund Managers	Harshil Suvarnkar Dhaval Joshi Chanchal Khandelwal
   Fund Type	Open-ended

2. Union Children's Fund Regular - Growth

   This scheme aims to create long-term wealth by investing in a mix of equity, equity-related instruments, and debt. It is designed to help parents save for their children’s future needs in a goal-focused way.

   Parameters	Details
   Fund Name	Union Children's Fund Regular - Growth
   NAV	₹ 11.06 (as on 31st March, 2026)
   AUM	₹82.34 Crs
   Expense Ratio	2.39%
   Return 5 Years	N/A
   Minimum Investment	SIP ₹1000 & Lumpsum ₹1,000
   Risk Level	Principal at very high risk
   Launch Date	19th December, 2023
   Asset Allocation	Equity: 97.64%, Debt: 0.07%, Others: 2.29%
   Top Sectors	Diversified Real Estate Consumer Discretionary Industrials Consumer Staples Energy & Utilities Financial Healthcare Materials Technology
   Top Holdings	HDFC Bank Ltd ICICI Bank Ltd Reliance Industries Ltd Repo Bharti Airtel Ltd Larsen & Toubro Ltd Gabriel India Ltd State Bank of India Infosys Ltd Mphasis Ltd
   Fund Managers	Vinod Malviya Gaurav Chopra Parijat Agrawal
   Fund Type	Open-ended

3. ICICI Prudential Children's Fund-Growth

   This fund tries to generate long-term capital growth. It invests most of its money (around two-thirds or more) in equity and equity-related securities. The remaining part goes into debt, money-market instruments, securitised debt, and cash.

   Parameters	Details
   Fund Name	ICICI Prudential Children's Fund-Growth
   NAV	₹ 293.68 (as on 31st March, 2026)
   AUM	₹1,403.96 Crs
   Expense Ratio	2.2%
   Return 5 Years	12.17%
   Minimum Investment	SIP ₹1000 & Lumpsum ₹5,000
   Risk Level	Principal at very high risk
   Launch Date	31st August, 2001
   Asset Allocation	Equity: 87.05%, Debt: 10.62%, Others: 2.33%
   Top Sectors	Diversified Energy & Utilities Financial Healthcare Materials Real Estate Technology Consumer Discretionary Industrials
   Top Holdings	HDFC Bank Ltd Ultratech Cement Ltd Bharti Airtel Ltd Reliance Industries Ltd Sun Pharmaceutical Industries Ltd Mahindra & Mahindra Ltd Interglobe Aviation Ltd Larsen & Toubro Ltd 4.45% Government of India (30/10/2034) Atul Ltd
   Fund Managers	Lalit Kumar Sharmila D'Silva Rohit Lakhotia Darshil Dedhia
   Fund Type	Open-ended

   
   
   

4. Axis Children's Fund Direct-Compulsory Lock-In Growth

   This scheme invests in debt and money-market instruments to earn income. It also invests in equity and equity-related instruments for long-term growth. It comes with a compulsory lock-in period because it is meant for child-focused goals.

   Parameters	Details
   Fund Name	Axis Children's Fund Direct-Compulsory Lock In Growth
   NAV	₹ 27.39 (as on 31st March, 2026)
   AUM	₹905.65 Crs
   Expense Ratio	1.43%
   Return 5 Years	8.25%
   Minimum Investment	SIP ₹1000 & Lumpsum ₹5,000
   Risk Level	Principal at very high risk
   Launch Date	8th December, 2015
   Asset Allocation	Equity: 69.4%, Debt: 29.27%, Others: 0.74%
   Top Sectors	Consumer Discretionary Industrials Consumer Staples Energy & Utilities Financial Healthcare Materials Real Estate Technology
   Top Holdings	GOVERNMENT OF INDIA 34208 GOI 08AP34 7.1 FV RS 100 HDFC Bank Ltd Reliance Industries Ltd ICICI Bank Ltd Infosys Ltd GOI Sec 7.18 14/08/2033 State Bank of India Larsen & Toubro Ltd Mahindra & Mahindra Ltd Bharti Airtel Ltd
   Fund Managers	Devang Shah Hardik Shah Jayesh Sundar Krishnaa Narayan
   Fund Type	Open-ended

5. Axis Children's Fund Regular-No Lock In Growth

   This scheme invests in a mix of debt, money-market instruments, and equity for stable income and long-term growth. It does not have a compulsory lock-in period, so it is more flexible for parents.

   Parameters	Details
   Fund Name	Axis Children's Fund Regular-No Lock In Growth
   NAV	₹ 23.95 (as on 31st March, 2026)
   AUM	₹905.65 Crs
   Expense Ratio	2.34%
   Return 5 Years	7.05%
   Minimum Investment	SIP ₹1000 & Lumpsum ₹5,000
   Risk Level	Principal at very high risk
   Launch Date	8th December, 2015
   Asset Allocation	Equity: 69.4%, Debt: 29.27%, Others: 0.74%
   Top Sectors	Materials Real Estate Technology Consumer Discretionary Industrials Consumer Staples Energy & Utilities Financial Healthcare
   Top Holdings	GOVERNMENT OF INDIA 34208 GOI 08AP34 7.1 FV RS 100 HDFC Bank Ltd Reliance Industries Ltd ICICI Bank Ltd Infosys Ltd GOI Sec 7.18 14/08/2033 State Bank of India Larsen & Toubro Ltd Mahindra & Mahindra Ltd Bharti Airtel Ltd
   Fund Managers	Devang Shah Hardik Shah Jayesh Sundar Krishnaa Narayan
   Fund Type	Open-ended

6. Nippon India Large Cap Fund-Growth

   This fund aims to create long-term capital appreciation. It mainly invests in equity and equity-related instruments of large-cap companies. It may also invest a small portion in debt, money-market instruments, REITs, and InvITs for stability.

   Parameters	Details
   Fund Name	Nippon India Large Cap Fund-Growth
   NAV	₹ 82.82 (as on 1st April, 2026)
   AUM	₹51,403.80 Crs
   Expense Ratio	1.5%
   Return 5 Years	14.99%
   Minimum Investment	SIP ₹1000 & Lumpsum ₹100
   Risk Level	Principal at very high risk
   Launch Date	8th August, 2007
   Asset Allocation	Equity: 99.27%, Debt: 0%, Others: 0.73%
   Top Sectors	Consumer Discretionary Industrials Consumer Staples Diversified Energy & Utilities Financial Healthcare Materials Technology
   Top Holdings	HDFC Bank Ltd ICICI Bank Ltd Reliance Industries Ltd State Bank of India Axis Bank Ltd Larsen & Toubro Ltd ITC Ltd Bajaj Finance Ltd Infosys Ltd GE T&D India Ltd
   Fund Managers	Sailesh Raj Bhan Bhavik Dave
   Fund Type	Open-ended

7. ICICI Prudential Large Cap Fund – Growth

   This scheme aims to generate long-term capital appreciation and income. It invests mostly in equity and equity-related securities of large-cap companies. The fund’s returns are not guaranteed and depend on market performance.

   Parameters	Details
   Fund Name	ICICI Prudential Large Cap Fund-Growth
   NAV	₹ 99.87 (as on 31st March, 2026)
   AUM	₹77,451.59 Crs
   Expense Ratio	1.42%
   Return 5 Years	13.23%
   Minimum Investment	SIP ₹1000 & Lumpsum ₹100
   Risk Level	Principal at very high risk
   Launch Date	23rd May, 2008
   Asset Allocation	Equity: 95.31%, Debt: 2.8%, Others: 1.89%
   Top Sectors	Diversified Consumer Discretionary Industrials Consumer Staples Energy & Utilities Financial Healthcare Materials Real Estate Technology
   Top Holdings	Reverse Repo HDFC Bank Ltd ICICI Bank Ltd Repo Reliance Industries Ltd Larsen & Toubro Ltd Axis Bank Ltd Bharti Airtel Ltd Maruti Suzuki India Ltd National Stock Exchange Of India Ltd Index ID
   Fund Managers	Anish Tawakley Vaibhav Dusad Sharmila D'Silva
   Fund Type	Open-ended

8. ICICI Prudential Long Term Wealth Enhancement Fund – Growth

   This is a close-ended, 10-year equity-linked savings scheme. It aims to create long-term capital growth by investing mainly in equity and equity-related securities of large-cap and emerging mid-cap companies. It also offers tax benefits but does not guarantee results.

   Parameters	Details
   Fund Name	ICICI Prudential Long Term Wealth Enhancement Fund - Growth
   NAV	₹ 25.81 (as on 31st March, 2026)
   AUM	₹38.95 Crs
   Expense Ratio	1.39%
   Return 5 Years	14.55%
   Minimum Investment	SIP ₹1000 & Lumpsum ₹500
   Risk Level	Principal at very high risk
   Launch Date	22nd March, 2018
   Asset Allocation	Equity: 94.19%, Others: 5.81%
   Top Sectors	Consumer Discretionary Industrials Consumer Staples Energy & Utilities Financial Healthcare Technology
   Top Holdings	TVS Motor Company Ltd Maruti Suzuki India Ltd ICICI Bank Ltd HDFC Bank Ltd Repo Ethos Ltd Reliance Industries Ltd Avenue Supermarts Ltd Infosys Ltd Zomato Ltd
   Fund Managers	Rajat Chandak Sharmila D'Silva
   Fund Type	Closed-end

   
   
   

9. Sundaram Long Term Tax Advantage Fund Series II Regular – Growth

   This fund aims to create capital appreciation over around 10 years. It invests mainly in equity and equity-related instruments. It is an ELSS fund, so it offers tax benefits and comes with a mandatory lock-in period.

   Parameters	Details
   Fund Name	Sundaram Long Term Tax Advantage Fund Series II Regular-Growth
   NAV	₹ 35.18 (as on 23rd March, 2026)
   AUM	₹13.09 Crs
   Expense Ratio	1.37%
   Return 5 Years	12.79%
   Minimum Investment	SIP ₹1000 & Lumpsum ₹500
   Risk Level	Principal at very high risk
   Launch Date	21st March, 2016
   Asset Allocation	Equity: 94.34%, Others: 5.66%
   Top Sectors	Consumer Discretionary Industrials Consumer Staples Energy & Utilities Financial Healthcare Materials Technology
   Top Holdings	HDFC Bank Ltd ICICI Bank Ltd State Bank of India Reliance Industries Ltd Bharti Airtel Ltd Infosys Ltd Repo Larsen & Toubro Ltd Ultratech Cement Ltd Axis Bank Ltd
   Fund Managers	Dwijendra Srivastava Rohit Seksaria
   Fund Type	Closed-end

10. Edelweiss ELSS Tax Saver Fund Regular – Growth

    This scheme aims to provide long-term capital appreciation. After the lock-in period, it also allows periodic payouts. It invests mostly in equity and growth-oriented companies. The fund may also benefit from special events like mergers and demergers.

    Parameters	Details
    Fund Name	Edelweiss ELSS Tax Saver Fund Regular - Growth
    NAV	₹ 100.97 (as on 31st March, 2026)
    AUM	₹439.15 Crs
    Expense Ratio	2.34%
    Return 5 Years	11.34%
    Minimum Investment	SIP ₹1000 & Lumpsum ₹500
    Risk Level	Principal at very high risk
    Launch Date	30th December, 2008
    Asset Allocation	Equity: 98.71%, Debt: 1.38%, Others: -0.09%
    Top Sectors	Consumer Discretionary Industrials Consumer Staples Diversified Energy & Utilities Financial Healthcare Materials Real Estate Technology
    Top Holdings	HDFC Bank Ltd Reliance Industries Ltd ICICI Bank Ltd Bharti Airtel Ltd Larsen & Toubro Ltd State Bank of India Others CBLO Muthoot Finance Ltd Multi Commodity Exchange Of India Ltd BSE Ltd
    Fund Managers	Raj Koradia Ashwani Kumar Agarwalla Trideep Bhattacharya
    Fund Type	Open-ended

Why Goal-Based SIP Planning Is Important?

The following key concepts highlight the importance of goal-based SIP planning:

• Rising Education Costs: Education becomes more expensive every year. For example, a course costing ₹10 lakh today may cost ₹25–30 lakh after 15 years due to inflation. If you do not plan with inflation in mind, you may fall short of your goal amount.
• Compounding Over Long Term: Equity SIPs usually give 12–14% returns annually over long periods. When you stay invested for many years, compounding multiplies your money and helps build a strong corpus.
• Small Investments Can Grow Big: A small SIP of ₹3,000–₹5,000 per month can grow into a big fund in 10–20 years. You can also use a step-up SIP and increase your SIP amount every year to meet rising costs easily.

Examples of Goal‑Based SIP for Child

SIP Calculator

I know my investment amount I know my goal amount

Monthly SIP Yearly SIP Lumpsum

I want to invest Pro Tip

Financial experts suggest that a person should invest 10-15% of their monthly income for long-term financial growth

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I want to invest for Pro Tip

Financial experts suggest that individuals should ideally invest for a period of 5 to 10 years, or even longer, to maximize the benefits of compounding and navigate market fluctuations effectively

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Expected return Pro Tip

Top 25% of investors consistently generate more than 12% return

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Total Wealth ₹1.03 Cr

View Plans

I want to save

I want to invest for Pro Tip

Financial experts suggest that individuals should ideally invest for a period of 5 to 10 years, or even longer, to maximize the benefits of compounding and navigate market fluctuations effectively

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Expected return Pro Tip

Top 25% of investors consistently generate more than 12% return

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Monthly Investment ₹22.4 L

View Plans

Top Funds with High Returns (Past 7 Years)

11.9%

Equity Pension

13.85%

Opportunities Fund

17.91%

High Growth Fund

12.11%

Opportunities Fund

22%

Multi Cap Fund

13.51%

Accelerator Mid-Cap Fund II

15.02%

Multiplier

13.55%

Frontline Equity Fund

14.47%

Virtue II

9.97%

Equity II Fund

10.16%

Gift Global Opportunity Maximizer Fund

14.32%

Growth Opportunities Plus Fund

10.86%

Equity Top 250 Fund

12.71%

Future Apex Fund

10.75%

Pension Dynamic Equity Fund

13.17%

Accelerator Fund

SIP Calculator for a SIP for Child Education

A SIP calculator helps you calculate how much you need to invest regularly for your child's future goals like education or marriage. Parents can use this tool to decide the right amount to invest and how long to invest.

• SIP Calculator for Child Fund: Select “I Know My Goal Amount” option in the calculator- 
  • Child Corpus Estimate: ₹30,00,000 (child fund)
  • Investment Duration: 18 years
  • Expected Return: 15% annually.
• SIP Calculator Results: The calculator will show you the following results:
  • Monthly Investment Required: ₹3,050
  • Total Investment: ₹6,60,000
  • Amount Required: ₹30,00,000
  • Wealth Gained from SIP: ₹23,40,000

This shows how long-term SIPs can help you achieve big goals with small monthly amounts.

Main Types of SIPs for Children to Invest in 2026

You can invest in the following type of SIPs for children to get good returns in 2026:

• Children’s Benefit Funds: These are special funds designed for long-term child goals like education. They usually have a lock-in period for discipline.
• Equity Funds (Large-cap / Multi-cap / Flexi-cap): These are suitable for parents who want strong long-term returns with diversification.
• Hybrid or Balanced Funds: These funds invest in both equity and debt. They are good for parents who want moderate risk and stable growth.
• Step-Up SIP: You can start with a small SIP and increase the amount every year as your income grows. This helps you achieve your goal faster.

Key Points to Consider Before Investing in a SIP for a Child 

Keep the following points in mind before starting to invest in a SIP for a child:

• Start Early — The earlier you start, the more time compounding has to work.
• Set Clear Goals — Decide what you are saving for: child’s education, marriage, first job, etc. Set target amount and timeframe.
• Pick the Right Fund Type — For long-term goals: equity or children’s funds. For nearing goals: hybrid or debt funds.
• Decide SIP Amount Prudently — Choose an amount you can comfortably invest monthly without strain.
• Understand Risk Tolerance — Equity funds give higher returns but come with volatility. Be ready for ups and downs.
• Monitor & Review Regularly — Keep an eye on fund performance, expense ratio, and changes in fund allocation. Rebalance if needed.
• Stay Invested Long‑Term — Avoid frequent switching due to market fluctuations — SIP works best when kept for a long duration.

Conclusion

SIP for child is a simple yet powerful method to build a secure financial future for your children. By investing small amounts regularly through a long-term horizon, parents can accumulate substantial funds to support their child’s education, career start, or other milestones. The key is discipline, clarity of goal, choosing the right funds, and staying committed.