it is perfectly fine.

Just tell your daughter nicely that blond hair, black hair, white skin and brown skin are same. They are all beautiful. As a matter of fact, every color is beuatiful.

Not big deal.Your daughter is still young. My daughter of ten years old asked us the smame questions, but no more. I just keep telling her that her name is very unique and I would love to have her keeping her Chinese name. Now she becomes to know that she is indeed beautiful, and so many people say she is beautiful as well, not just her name.