♣︎14 Money to Protect and Money to Grow

“Education insurance and investment trusts,
which one is better?”

A family in their 30s
raising two children
with a five-year age gap, aged 1 and 6,
asked a childcare planner that question.

“Even though they are both ‘education expenses,’ the time horizons for a 1-year-old and a 6-year-old are different.”

They drew two lines on a piece of paper.

“For the 6-year-old, the‘time to use it’is starting to come into view.”
“For the 1-year-old, there is‘time’on their side.”

Then, they continued calmly.

“Money also has different roles.”

Education insurance is ‘money to protect’
・For funds where the necessary timing is fixed.
・Provide steady peace of mind for your 6-year-old.

Investment trusts are ‘money to grow’
・Time is an ally for your 1-year-old.
・Do not try to increase it in the short term.

The planner concluded with this.

It is not about which one is the correct answer, but
what you entrust to which one.

Education expenses are not something to gamble with;
let’s proceed with peace of mind as a family.

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