CTF discussion area

cloud_dog

peterbaker wrote: »

These CTF's haven't returned anything yet except to the winners involved in buying from or selling to the CTF 'fund managers'(sic) - any value is inaccessible until the child's 18th birthday, and until then it is as much a paper value as the voucher you started it with.

Whoever decided it was sensible to allow so many CTFs to be linked to equities in such haphazard fashion should probably be shot.

Not sure where you're getting your info from but people can have a cash CTF (savings account) if they wish, or invest in S&S, bonds, gilts, commodities, pretty much anything (within reason).

There's two ways of looking at the CTF...........

1) oooh I dont want to lose any money (savings vehicle)

2) Its something the child would have never had (prior to CTF) and therefore you can afford to take a higher risk approach (shares etc) in the hope that in 18 years time it will be worth much much more.

The choice is there, if people choose not to use it then they are only to blame. Am quite happy with my daughters investment split across gold and equities.

cloud_dog

Euros

As a trustee of my sons account I want to ensure that the £40000 is in the best account/investment. There's a further 10 years to run.
What do you suggest in the current economic climate?

emmy05

ive received my daughters ctf voucher this week, anyone have any ideas where to put it, im a little worried with whats happening lately tbh, but any advice would be greatly received x

irrelevant

We've just had an annual statement for our little one's CTF account. (F&C Stakeholder.)

Despite putting in an extra £25/month, the total value is less than £50 more than this time last year. The value of the investments are nearly £300 less than their cost!

I'm just hoping that, as suggested above, over the long term it'll recover and stil do well, and at least my monthly payments are now buying half as many again investment fund units as they did at the start of the year..

spadey

We've just received the voucher, so currently looking at options. I know nothing about stocks and shares and have traditionally shied away from this sort of investment. Is the current climate now a good time to invest, as presumably as shares will generally be quite low and therefore likely to go up? How easy is it to track the actual amount of equity in a shares investment compared to a standard savings account? We will definately be adding to the CTF (as will family) so we anticpate it building up to reasonable sum. Any help or advice would be greatly appreciated.

merdoom

also looking for a bit of advice here, have had my voucher since august and been trying to wait and see what would be best, but aware of the fact that i may forget to put it in an account and then our lovely boys in charge will do it for me.
would it still be best to wait a bit or put it in now while stocks are low?

wriggly

Noone can tell you whether the stockmarket is at the bottom, but it is certainly lower than August. In the past, over 17 or 18 years, investments in shares have performed significantly better than saving in an interest-bearing account.

We split money for our child between a shares CTF and premium bonds. Any gifts of money received from others go into a child savings account.

So far, the savings account has done best, the premium bonds have remained static, and the CTF has gone down. However, over 18 years, I expect the CTF will win handsomely (unless the premium bonds hit the jackpot).

DaveBarnes

Baba no2 due next week!

In this present financial climate do I put cash for the new baba in a savings account or add to his new Child Trust Fund?

Baba no1 (just turned 3) has a standard childs savings account with the Derbyshire Building Soc were the interest has just fallen away and a Childrens Mutual Ethical CTF were the pot has gone from £250 to £188. We do not add to the CTF only the savings account.

Any ideas would be greatly appreciated.

Kind Regards

Dave Barnes:beer:

heatherm_3

Although we've already been saving through stakeholder CTF our concern is that the kids will get this money in a lump sum at an age where they (possibly) won't be responsible enough with it.
We'd like to continue putting aside £120 a month for them in a high interest / stocks n shares account but are not sure of the best options.
Obviously, we are also concerned that taxable accounts may take away a large portion of interest/growth
any ideas?
Any help will be appreciated

Lokolo

Teach him about money when hes young and he should be fine. If I got given a lump sum when I turned 18 it would have gone straight back into savings.