New Delhi, Aug. 12 -- For parents looking to build long-term wealth for their children, mutual funds can be a powerful tool. Investing in your child's name can help instil financial discipline early, harness the power of compounding, and ensure that funds are earmarked specifically for their goals, from education to marriage and beyond.

Many parents wish to invest in direct mutual funds online on behalf of their children, but few asset management companies offer this facility and registrar and transfer agent (RTA) websites don't support online investing for minors. As a result, parents often end up taking the offline route, visiting a bank or a mutual fund distributor. However, this process can be cumbersome and time-consuming.

Luckily,...