Where to start saving for my 7 year olds future?

united4ever

We never got to start a fund for my 7 year old daughter but now have £4500 so would like to put that into something that will grow and I could add maybe £40 a month via direct debit.


I am intersested in stocks and shares ISA since I don't use my tax free allowance for this. Is this the best route and if so, could anyone advise a specific one? Obviously looking for 10 year plus term.



We have a junior ISA for my other child but I believe they stopped doing them and I understand he gets a lump sum at 18 which is a bit scary so would prefer this time to have the money in my name and give them at 18 or maybe give them a bit later depending on what they are doing with their lives in 10 years or so.


Thanks in advance

xylophone

We have a junior ISA for my other child but I believe they stopped doing them

No, they didn't.....

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

https://moneytothemasses.com/quick-savings/parents/best-junior-stocks-and-shares-isa

Assuming that the £4500 you mention is your money and not money given to your child, perhaps you might consider starting a stocks and shares ISA in your own name with this lump sum and then continuing to contribute as you suggest.

Below might be worth a look.



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

https://www.vanguardinvestor.co.uk/investing-explained/stocks-shares-isa?intcmpgn=flexibleinvesting_ISA_learnmore_cta

talexuser

I'm saving for the grandkids, and decided since Mum did not use all her ISA allowance this was the best way forward with a view to keeping control for university or otherwise (total savings against possible benefits is not a consideration). For a long timescale I decided on Vanguard lifestrategy 100% equities as a low cost global investment solution with a somewhat higher UK allocation. At the moment we are through Cavendish online since the % platform fee is not too bad for low 5 figures, with free trading top ups. As the sum grows it might be worthwhile changing to a fixed fee platform in the future, depending on the number of trades required. Just a suggestion of where to start investigating.