My daughter has passed 12 commerce this year and she is looking for BA in political science from India . Post that she intends to do international relations from USA . What are the top universities and scope of it in USA . And also courses available that she can do post completing her graduation.

Ans: While I can try to give some 'gyan' about a luxury car being a depreciating asset and why you should instead focus on saving for buying real appreciating assets or investments, I will not do that here and instead, just try to answer your question mathematically. ;-)

A car that costs Rs 75 lakh today, will cost much higher due to inflation after 10 years. Assuming 6% average inflation over the next 10 years, the cost of the car you mentioned will increase to Rs 1.34 crore. To reach this corpus target, if you invest in an equity-oriented portfolio that generates about 11%, then you need to start investing Rs 46-47,000 monthly starting today and also increase this monthly investment by at least 7% each year (with your salary hikes).

With the current monthly take-home of Rs 2 lakh, this shouldn't be a problem with you.

That said, I would once again mention the fact that right now you are young and hence, you have this cool goal. My guess is that as years pass, you will understand the reason why spending too much on a depreciating asset like a car isn't advisable. :-)

We don't have information about your risk appetite. But assuming that it is at least moderately aggressive, then, you can start investing in a combination of largecap index funds, flexicap/large&midcap funds, midcap funds, etc.

Thanks
Dev Ashish,
SEBI Registered Investment Advisor (Fee-Only RIA)
Founder, StableInvestor.com
Twitter (@Stableinvestor)

Note (Disclaimer) - As a SEBI RIA, I cannot comment on specific schemes/funds that are provided or asked for in the questions in the platform. And the views expressed above should not be considered professional investment advice or advertisement or otherwise. No specific product/service recommendations have been made and the answers here are for general educational purposes only. The readers are requested to take into consideration all the risk factors including their financial condition, suitability to risk-return profile and the like and take professional investment advice before investing.