Saving for a child with CFT already

jaype

Hi - friends, family & I want to give a child a share portfolio worth about 2k for his 13th birthday.

The aim is to introduce him to shares, their value and how they work. Really, it would be something where he can log on from time to time and monitor their worth.

What would anyone suggest? He already has a share-based CTF in place.

Thanks!

xylophone

The child cannot hold the shares in his own name.

You might be able to open an account in Bare Trust for the child and transfer the shares into that.

See Junior Investment Account here

http://www.hl.co.uk/faqs/contact-us/can-i-invest-on-behalf-of-a-child

joujou

xylophone wrote: »

The child cannot hold the shares in his own name.

You might be able to open an account in Bare Trust for the child and transfer the shares into that.

See Junior Investment Account here

http://www.hl.co.uk/faqs/contact-us/can-i-invest-on-behalf-of-a-child

Hmm what?

OP, transfer their CTF into a Junior S&S ISA. All the CTF accounts have horrid fees.

Then pay into that Junior S&S ISA.

xylophone

OP, transfer their CTF into a Junior S&S ISA. All the CTF accounts have horrid fees.

Then pay into that Junior S&S ISA.

The OP does not indicate that he is the "registered contact" for the CTF - only the registered contact can administer the account before the child reaches the age of 16.

The RC could choose to transfer the CTF to JISA and might wish so to do.

https://forums.moneysavingexpert.com/discussion/comment/70479762#Comment_70479762

The OP and friends and family could contribute to the CTF/JISA.


However, it appears that friends and family wish the child to have a share holding type account outside CTF/ JISA?

The child cannot hold shares in his own name - however, it could be possible for uncle /grandparent or godparent/parent etc to be bare trustees for a child as explained in the link above.

They could then gift shares into the trust or provide money to buy shares, as required.

joujou

You're getting too bogged down with the detail (and are also nauseating me with your use of bold). I bet you're fun at parties.

OP wants to teach kid about shares - having a Junior ISA account and giving him the login details is just fine.

xylophone

You're getting too bogged down with the detail

The devil is in the detail....:rotfl:

I bet you're fun at parties.

Oh, I am, I am......:rotfl:

and are also nauseating me with your use of bold).

Such fun........:T

having a Junior ISA account and giving him the login details is just fine.

I draw your attention concerning access and control before age 16/18 to my post above and to

https://www.gov.uk/child-trust-funds/overview

cloud_dog

joujou wrote: »

Hmm what?

OP, transfer their CTF into a Junior S&S ISA. All the CTF accounts have horrid fees.

Then pay into that Junior S&S ISA.

Was looking for a reason to use bold

Ummmm, not true.

My DD CTF pays 0, zero, nada, нуль, zilch, သုည, 零, nothing in AMC/fees. :T

cloud_dog

OP, another option might be to ignore the investment monies themselves and create an online 'fantasy' portfolio. Lots of sites allow you to create watchlist/fantasy portfolios (II, Google, etc, etc).

A way of getting the child interested might be to mirror cash gifts (birthday/Xmas) in the 'fantasy' portfolio. i.e. if they received £200 for birthday they can carry on and enjoy that money (spending etc) but they/you could create an entry of £200 in an investment then perhaps periodically you/they can monitor how the investment might be going.

I know this ignores charges etc but might spark the realisation of savings/investing/returns etc.

My interest in investments was triggered at school where I was part of a team who took part in the schools investment challenge.

I've not researched this in detail but I found this Schools Stock Market Challenge on Google.

I suppose it depends if the child has an awareness of investing and is willing to participate of if you are trying to engage and assist them in gaining the awareness.