Lump sum gift for new baby

Primrose

Am deliberating on a £500 gift for a new baby. I thought possibly premium bonds but imagine by the time they might want to use it for university or whatever, inflation would have made it pretty worthless. Can anybody suggest a suitable unit trust fund in a reliable sector which might stand the test of time?

xylophone

Ask the parents to open a stocks and shares JISA for the child?

https://www.gov.uk/junior-individual-savings-accounts


https://www.vanguardinvestor.co.uk/investing-explained/stocks-shares-junior-isa may suit.

http://monevator.com/using-vanguard-lifestrategy-funds-life/

They and other family members could contribute in the hope of building a nest egg for the child at 18.

Peelerfart

I had exactly the same dilemma when our two(now 19&16) were born.

We went for premium bonds, and over the years have won several small wins. Now they are older, we still have these bonds.
Never regretted the decision and even now we're still in with "the chance".