Child trust fund - should I stop paying in

Cat14_2

I have a ctf- I pay in £50 per month, however with corona virus the balance on this account has dropped significantly- should i stop paying in??

kuratowski

It's better to keep paying in if you can afford to do so, as you'll be buying cheaper units i.e. better value.  Historically the market usually recovers over time, so holding onto investments generally gives a better results than selling them after there has been a fall in value.  (However the future is always uncertain, so there are no guarantees.)

Alexland

Although the above is generally true it also depends on the age of the child and when they might want to withdraw and spend the money. If they no longer have a 5 year investment horizon it might be time to start gradually derisking back to cash.