5 Best Child Investment Plans to Invest in 2025

This is where the benefits of a well-chosen child investment plan show up. Offering the potential for substantial long-term returns, these plans ease the future financial responsibilities of parenting. With a wide range of options available in the market, identifying the best ones for your needs in 2025 is crucial.

Best Investment Plans in UAE

Some of the best Investment quotes in UAE & Dubai are:

Policy Term

Investment Amount

Payment Frequency

YearlyMonthly

List of Best Child Investment Plans in UAE

You can find many excellent child investment plans in UAE to save and invest smartly for your child’s education or other life goals. We've broken down the best options along with their major features —

1. Zurich Education Savings Plan

This UAE child education plan is a long-term savings and insurance combo. It can help you fund your child’s university education. It’s ideal for parents who have long-term investment goals and protects your child’s education fund even if something happens to you. You also get the flexibility to invest as per your risk profile.

Key Features

Regular premium unit-linked plan
Covers both the child and the parents
Payout of 101% of the policy value if the child passes away
Future Premium Protection: If the parent passes away or is disabled, Zurich pays the remaining premiums
Choose funds based on your risk level (Zurich Allocated Passive Funds)
Withdraw anytime (but make sure the value stays above the minimum limit)

Minimum Premiums: Starts at USD 400/month (or equivalent in EUR/GBP)

What to Know?

No capital guarantee
Investment value can go up or down
Needs a minimum commitment of 5 years

2. LIC International Child Education Plan

It’s a traditional endowment plan with guaranteed benefits. With this child savings plan, you get a guaranteed lump sum at the end of the policy term or on death. It’s a safe and predictable option, offering peace of mind that your child's future is covered.

Key Features

Death and maturity benefits
Guaranteed additions of USD 30/year per $1,000 sum assured
Optional Premium Waiver Benefit if the parent passes away
The plan continues even if the parent dies
Offers loans and surrender value after 3 years

Eligibility

Child entry age: Below 11 years
Maturity age: 18 to 25 years
Premium term: 5 or 7 years
Minimum Sum Assured: USD 25,000

3. FAB EduPlus Insurance

EduPlus education insurance plan UAE provides a set of education protection benefits bundled with life coverage. This plan focuses more on reimbursing your child’s school-related expenses in case of your death or disability. It comes in different tiers — you can pick the one that suits your budget.

Key Features

Life cover up to AED 300,000
EduPlus benefits cover tuition fees, books, transportation, coaching, uniforms, etc
Child protection and document loss cover
Accidental hospital cash and family relocation support

4. Standard Chartered Children’s Education Global Choice Plan

This child investment plan in UAE is a combination of a hybrid insurance & investment plan for education savings. It gives you full control to customise your investments while also offering life insurance. It’s flexible, digital-friendly, and ideal if you want a say in how your money grows.

Key Features

Invests in mutual funds
Life insurance benefit: The Higher of premiums paid or policy value
Build a custom portfolio (up to 30 funds)
Assign beneficiaries for secure payouts
Partial withdrawals are allowed if the value stays above USD 10,000 (or equivalent)
1-month premium free offer

5. Citibank Child Education Insurance Plan

This child education plan in UAE offers two investment paths: lump sum or monthly investing (to benefit from dollar cost averaging). It is for parents who want global diversification and flexibility. You can invest a lump sum or go the SIP route, and choose from a wide range of international mutual funds.

Options

Wealth Accumulation Plan: One-time investment with flexible fund switching
Dollar Cost Averaging: Regular payments in the chosen currency

Key Features

Access to global mutual funds
Optional life cover and premium waiver
Withdraw anytime for short-term needs

Which Child Plan in UAE is Right for You?

Plan	Best For	Minimum Premium	Type
Zurich Education Plan	Long-term education savings with life cover	USD 400/month	Investment + Insurance
LIC International	Guaranteed returns + basic life cover	USD 25,000 sum assured	Endowment Plan
FAB EduPlus	Expense reimbursements for the child after the parents’ death	Based on tier	Insurance-Based
Standard Chartered Global Choice	Flexible mutual fund investing + insurance	USD 10,000 min value	Hybrid
Citibank Education Plan	Lump sum or regular savings with market access	Varies	Investment-Oriented

When is the Right Time to Invest in Child Investment Plans?

Investing in child investment plans at the earliest stage of your child's life is a wise strategy. The sooner you start, the more time your investment has to grow, leveraging the power of compounding. This approach not only maximises the potential returns but also provides a larger safety net for your child’s future needs.

Given below are the key points to consider when determining the right time to embark on the journey of obtaining the best investment for your child.

Birth or Early Childhood

Starting a child investment plan right from birth or early childhood gives your investment the maximum time to grow.

This allows you to take advantage of compounding interest, where the earnings on your investment generate their earnings. Over time, this can significantly increase the amount of money available for your child's education, marriage, or starting a business.

Goal-Based Savings

Identify specific goals that you wish to achieve for your child’s future, such as education or starting a business. Once these goals are clear, you can choose the best investment for your child that aligns with these objectives.

Good Financial Situation

Invest when you're in a stable financial position. This is because having a solid financial foundation helps you commit to a child investment plan without compromising on your current lifestyle or other financial obligations.

Education Planning

Considering the rising cost of education, it is crucial to start an investment plan focused on education as early as possible. Education planning through a dedicated child investment plan ensures that you have sufficient funds to cover tuition fees, living expenses, and other educational costs.

Planning for Your Child's Future — Key Financial Milestones

Even though specific needs vary from one family to another, a child investment plan in UAE will be beneficial. There are certain milestones in your child's life where having a financial cushion can significantly ease the journey.

Discussed below are some key milestones to consider for investing in a child investment plan —

Higher Studies

Investing early in preparation for your child's higher education is crucial, especially with the escalating costs of college tuition and associated expenses. A child investment plan in Dubai can provide the necessary funds for tuition fees, living expenses, books, and any other education-related costs.

Skill Development

Skill development outside traditional education systems, whether for music lessons, sports training, or coding workshops, is becoming increasingly important. Setting aside funds for your child's personal and skill development can open up new opportunities and pathways.

Career Development

As your child transitions from education to career, they may require additional support, whether for post-graduate studies, internships, or starting a business.
By investing in a child investment plan in UAE, you can provide them with the seed money required to explore these opportunities, travel for interviews, or relocate for that dream job.

Emergency Fund

Having an emergency fund as part of your child investment plan ensures that you can provide support during unforeseen circumstances without derailing your financial stability. This could be for medical emergencies, unexpected educational needs, or any other urgent financial requirement.

Wedding

Although it may seem far off, planning for your child’s wedding can be a significant financial undertaking. Starting an investment plan now can help you build a suitable place for your child’s big day.

Bottom Line

The best investment plan for a child is a cornerstone in securing a bright and stable future for your children. By investing in plans like Debt Mutual Funds, Term Life Insurance, Child Education Plans, ULIPs, Mutual Funds, and Gold Investment, parents can cater to various future needs ranging from education and career development to unforeseen emergencies.

Starting early, focusing on goal-based savings, ensuring a stable financial backdrop, and planning for key milestones are crucial steps towards making informed investment choices.

Frequently Asked Questions

Some of the best investment options for children in the UAE include bonds, real estate, mutual funds, and debt funds. The right plan depends on your child’s age, goals, and risk appetite.

Children under 18 can't invest on their own. But parents can invest on their behalf through a custodial account with an online broker.

Yes, but not directly in the child’s name. You’ll need to open a custodial or trustee account and manage the shares until your child turns 18.

Pick a mutual fund, choose the SIP amount, and fill in the minor’s form with the guardian’s details. Submit the documents, link a bank account, and once verified, the SIP will begin automatically.

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