CTF - please could somebody review my thinking

funkyfin2000

YEah fully understand that is your personal choice and mine well be different etc.


The F&C investment fund is what I was looking at.

So you invested under Core:

F&C Capital and Income Trust.

Reaper

funkyfin2000 wrote: »

So you invested under Core:F&C Capital and Income Trust.

No, I invested in core fund F&C Investment Trust - that's a fund name not to be confused with the company you are taking the investment out with.

missieamy

Hi Guys
This CTF is a minefield, we have an 8 year old and when we had her we took out a Children's Mutual baby bond which we pay £25.00 per month, then he government started the CTF vouchers and we were not allowed to out the voucher into the excisting fund we had so we put her £250 into a Family Investments CTF, this has now received the second payment from the government they did get when the child was 7, we have not invested anything else in to here.
On top of that she has an account that has in excess of £5k in that is earning virtually no interest at all.

We now have a new baby who has received the £50.00 from the government hence why I am looking at CTF's again this has brought up the following questions for us if anyone can help??

1. Which is the best CTF? - obviously this has been dealt with above.
2. Should we continue to pay £25.oo per month to Childrens Mutual based on articles online regarding poor performance?
3. Shoud we switch the £25.00 per month to the Family Investments CTF account she has?
4. What should we do with her other money in a poor performing childrens account?
5. Should we put the £1200 per year into the CTF?

Reaper

missieamy wrote: »

1. Which is the best CTF? - obviously this has been dealt with above.
2. Should we continue to pay £25.oo per month to Childrens Mutual based on articles online regarding poor performance?

Can you provide links about poor performance? I struggled to work out which fund they invest in but I think it is this one which aims to track the FTSE All Share and has done as stated.

3. Shoud we switch the £25.00 per month to the Family Investments CTF account she has?

The difference between that and the Family Assurance one is the Family one is a worldwide tracker as opposed to a UK tracker, so the one to pick depends on how you think the UK economy will fare in the future.

4. What should we do with her other money in a poor performing childrens account?

If you want it in a savings account then read the site guide on children's savings accounts. I prefer investments. If you have not already used your S&S ISA allowance then you can simply open one in your own name and gift it to them in the future. Alternatively start adding it to the CTF which is also tax free, though the charges are a little higher (1.5%). For more details on the options and tax see post 2 in this thread.

5. Should we put the £1200 per year into the CTF?

See my answer to 4.

missieamy

Hi
Thanks for your reply with regard to the Children's Mutual one we pay £25.00 to there is a comment above 'now that Children's Mutual have dropped out of the market so I took it there was a problem with this one.

This is what we have decided so far:
1. Swith the £5k savings to a Yorkshire Bank Savings Bond
2. Go wiht the Family investments with worldwide tracker for the new baby
3. Still undecided whether to continue paying the £25.oo per month to Childrens Mutual the account we have is:Children's Mutual Baby Bond.

Any further advice or tips will be gratefully received.

Thanks again