Can a 16 year old invest in a mutual fund?

Anyone under the age of 18 (minor) can invest in Mutual Funds, with the help of parents/legal guardians until the age of 18. The minor must be the sole account holder represented by the parent/guardian. Joint holding is not allowed in a minor’s Mutual Fund folio.

How can minors invest in mutual funds?

A minor cannot invest in India on his account. However, they can do so through a natural guardian (parent) or court-appointed guardian. Upon attaining the majority, the minor’s bank account must be changed, and he must have a cheque book requiring his signature. A minor can invest in stocks and mutual funds in India.

How can kids invest in mutual funds?

Children below 18 years or minor can invest in mutual funds with the help of their parents or a guardian. This simply means that while the investment will be made in the child’s name, it will be represented by a parent or a guardian who will be required to sign off on transactions.

Can minors have mutual funds?

Not directly, no. However, mutual fund investments can be made through a custodial account opened in a minor’s name and overseen by a guardian. This custodian holds the decision-making power of the account until the child reaches legal age, typically 18 or 21.

Can minors invest in mutual fund schemes?

Children Investing in Mutual Funds Children below 18 years or minor can invest in mutual funds with the help of their parents or a guardian. This simply means that while the investment will be made in the child’s name, it will be represented by a parent or a guardian who will be required to sign off on transactions.

How do I set up an investment fund for my child?

To start investing in stocks on their own, your kid will need a brokerage account, and they must be at least 18 years old to open one. They can start earlier than this, but they’ll need a parent or guardian to open a custodial account for them.