Right SIP for daughter's education, marriage?

I am 34 years old and I want to invest through SIP for seven years for the downpayment of Rs 8-10 lakh for my home loan. My risk profile is conservative. Can you tell where should I invest? I have a two-year-old daughter and I want to invest for her education and marriage. Can you please help me to choose the right SIP?
-- Krishna Kumar Jha

Raghvendra Nath, MD, Ladderup wealth management, responds:

Equity markets tend to outperform other asset classes over the long period. For your goal of downpayment, I would recommend starting SIPs of Rs 3,000 in Axis Bluechip Fund, Principal Emerging Bluechip Fund and HDFC Balanced Advantage Fund. These funds are more skewed towards large cap recommended for conservative investors. In seven years, if your portfolio is able to deliver 12 per cent CAGR, you should reach your target of accumulating Rs 8-10 lakh.


For your daughter’s education and marriage, you should have at least 15 years of time horizon. For this goal, I would recommend a medium risk portfolio where you can start an SIP of Rs 2,000 each in Reliance Large cap Fund, L&T Midcap fund, Kotak Emerging Equity Scheme and HDFC Small Cap Fund. With this investment, you can accumulate close to Rs 50 lakh in the next 15 years, assuming a CAGR of 14 per cent.