12th October 2016, 11:12 PM
Still need more clarifications:
1. Which studies you are planning ..what are the current fees... add inflation of at least 10% per year till the year when your son will take admission..
If the exact studies is not planned what is the target amount you plan after
9 years,,the balance can be from taking education loan.
2 Dividends are of no use..why you want to it 5 years before ??
3 So you have investment amt = 7 lacs
Target amount you decide = ....
Average returns expectations calculated from the above two figures.
4 Now you decide on a mix of equity , MF and debt allocation..to achieve your goals
5 You need the monitor these assets every year..to check how you are faring with regards the target..and do reallocation ,,
6 2 years before 9 years i.e 7 years later remove all money which is equity based and put in debt..this is to avoid any sudden fall in market ,,which can coincide with the time you require the money..