Most people will answer this question by saying that they have opened a junior savings account for their child since birth, and put in every monetary gift the child has received. If you are one of such parents, that’s pretty impressive!
Between paying continually rising school fees, house rent and feeding, it is easy to get so caught up in meeting the present needs of our children, that one may not be able to set money aside for their future.
Planning for the child’s future is equally as important as caring for them while they are growing. Opening a savings account for them is merely the first step in helping them build a financially secure future.
As a savings account yields little to no profit, it may not satisfy your desire to leave a legacy for your child.
So what is better than saving money in a bank account for your child? Investing in their name! A Shari’ah compliant fixed income fund like the Lotus Halal Fixed Income Fund will do more than save your child’s money. It offers you a means of building wealth for your child before they are able to build it for themselves.
Think of all the ways that an investment can help your child in the future. The profits that a halal investment plan yields can go towards paying some of their school fees, buy them a home, pay for their wedding or help them start a business. Children whose parents have made investments for them have a better chance of having a financially secure future, more than their peers.
As human beings, we don’t like thinking about the negative, but as Muslims, we know that “every soul shall taste death”. What happens to young children who unexpectedly lose their parents? How do they survive in life without the people who worked and earned money on their behalf? Life’s unexpected occurrences is the reason financially savvy parents invest for their children. You don’t expect to die or fall ill, but if it were to happen, you wouldn’t want your children to suffer.
In a hadith narrated by Umar, a companion of Prophet Muhammad (SW), the Prophet used to sell the dates of the garden of Bani An-Nadir and store so food for his family that would cover their needs for a whole year. The Prophet planned in advance for the welfare of his family, and so should any Muslim parent.
With as low as N5,000, you can invest in Lotus Capital Limited’s Halal Fixed Income Fund for your child, and help them start their lives with a healthy nest egg.