Investing for children

Graysie_2

I have two small children under the age of three, their aunt would like to invest £250 for each of them that they receive on their 18th birthdays.

Any ideas? Thanks.

andy.m_2

Savings accounts, you or she keeps the book until you want them to get the money.
Just remember to keep an eye on the rates and switch as necessary.

No major risk.


Go for a Kids ISA if you wish, or a riskier share portfolio.
Plenty of information on the http://www.moneysavingexpert.com/banking/ tab

xylophone

Born after 2 Jan 2011? https://www.gov.uk/junior-individual-savings-accounts/opening-an-account

You open JISA and aunt pays in contribution?

If you (adult with parental responsibility) have (or are prepared to open) your own ISA with Halifax, children would be eligible for "relationship rate' currently 6%. http://www.halifax.co.uk/savings/accounts/cash-isas/junior-cash-isa/

atush

I would invest the money in a JISA, but not in cash. Over the period from now to age 18, equities are bound to outperform cash.

Cash is likely to lag behind inflation, and unless in Halifax is likely to reduce in actual real value over the period.