CTF discussion area
Options
Comments
-
Have a look at your fund's performance on this link.
HSBC Growth & Income - 5 Year graph on TrustNet
Although this is a stakeholder fund, it is clearly not a "closet tracker" - which I would take as a positive. It seems to take big stakes in selected UK companies - so you get an idea of where you are invested from looking at the top ten companies listed on the link.
It has underperformed over the last 12 months but significantly outperformed its benchmark over the last 5 years, so it might make sense to stick with it.0 -
My sister has a baby just over one year old and while she did have a voucher between one thing and another it never got lodged in account. From reading the article - it said that the government would look after it / and or lodge it - what happens now0
-
Hi kayakgirl and welcome to this section of the site
.
After about a year the government should choose a stakeholder CTF for your niece and invest £250 in it. So your sister should hear from the company the government has chosen in the near future (it's a random thing between various companies who applied & met the stakeholder criteria).
Basically this will be a UK stock-market invested fund with 1.5% annual charges that will gradually move out of stock market investments nearer your niece's 18th birthday. It's designed, in theory, so that people can forget about it - although that wouldn't be wise if your family is going to add to the investment.
When you get the paperwork you and your family will be able to add to this investment up to £1,200 pa if you wish.
You can transfer the CTF to another company, including a cash account if you want, but there will have been set up and closure charges for the stock market investment so this would cost.0 -
Britannia BS's CTF is now paying 6.5%
Including a 1.25% bonus for the first two years.0 -
In a CTF you can add 1200 pa to the fund. I don't suppose that means that each year you could open a different CTF each with 1200 in it.
For example my little one has a CTF with F and C, and we are thinking about putting another 1200 into this year, but why could we open it with someone else? Like ISA's?
I assume this isn't possible?0 -
As far as I am aware you can only have one CTF provider, although you can transfer as frequently as you like.
cloud_dogPersonal Responsibility - Sad but True
Sometimes.... I am like a dog with a bone0 -
-
Apparently this week is Child Trust Fund week, which basically aims to increase awareness about the the Child Trust Fund and encourage parents to open accounts. Sounds like a good idea to me! I have a 3 year old daughter, and we invested her voucher as soon as we could, so as not to lose any of the interest on it; though I do know quite a few other parents who still just aren't bothering to give any consideration as to how/where they are going to invest their kids' vouchers, which does seem a bit of a shame...
As shown by these figures, we did fantastically well with our choice The non-stakeholder equity CTF from The Children's Mutual is currently showing interest returns of over 60%... Not being the most experienced of investors myself, I feel rather proud of my judgement :beer:
I'd be interested to know people's opinions on stakeholder vs. non stakeholder, as well as whether you think general awareness/knowledge of the CTF could do with a boost?0 -
We have a non stakeholder with F and C. Only had it for 1 year so far and its done OK. Not fanstatic but OK. My plan was depending on the market when she is between 14-16 to switch to a cash CTF just to make sure that we don't lose all of it before she need it.
I am not sure what the official stakeholder CTF do in terms of changing the investment dependant on the age of the child.
Viks0 -
Why do so many here talk of interest-based CTFs...?
It is well known that the stock market - over the course of 18 years - typically outperforms interest rates, and usually my some margin.
My recommendation would be to for a shares based account. I am using selftrader.co.uk for our two sons, and investing £1200 as a lump sum each year (so am charged a flat fee just once for investing that, rather than an ongoing %).
This is worth looking at very carefully indeed... it could make the difference of thousands by the time it matures.
Aaron0
This discussion has been closed.
Categories
- All Categories
- 343.3K Banking & Borrowing
- 250.1K Reduce Debt & Boost Income
- 449.7K Spending & Discounts
- 235.3K Work, Benefits & Business
- 608.1K Mortgages, Homes & Bills
- 173.1K Life & Family
- 248K Travel & Transport
- 1.5M Hobbies & Leisure
- 15.9K Discuss & Feedback
- 15.1K Coronavirus Support Boards