In my last article on Sukanya Samriddhi Account Scheme I had written in details about Sukanya Samriddhi Account Scheme along with a clear illustration but after that i received a lot of queries from parents who have daughters who are eligible for this scheme that whether they should open Sukanya Samriddhi Account or PPF Account for their Girl Child? and they also wanted to compare both the schemes. So following are some points of comparison between both the schemes.
I would recommend that both the schemes have different features and should not be compared with each other. I would also recommend all the parents whose daughters are eligible for Sukanya Samriddhi Account to open both Sukanya Samriddhi Account as well as PPF Account. All the parents should make a clear plan which is providing for higher education and marriage of their daughters. Majority part of this provision should go to Equity through MF route as this investment is meant for long term. But remaining part which is to be invested in Fixed income schemes should be divided between PPF and Sukanya Samriddhi Account majorly and some part should be invested in debt funds for rebalancing between equity and debt.