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    • jj65
    • By jj65 10th Aug 17, 2:30 PM
    • 7Posts
    • 0Thanks
    Junior ISA
    • #1
    • 10th Aug 17, 2:30 PM
    Junior ISA 10th Aug 17 at 2:30 PM
    I've just moved my daughters Child Trust Funds to Junior ISA's and need to make a decision about what funds to invest in, I've been looking at either a VLS80 or VLS 100 but am not sure which way to go. Assuming they want to use the money when they are 18 rather than leave it invested how should I invest as they have 4 and 6 years respectively so not the long term that would be expected for a pure Stocks and Shares investment?
    Also I've read some posts that mention that bonds are not a very good investment in times of low interest rates if this is true what should I use in order to diversify?

Page 1
    • xylophone
    • By xylophone 10th Aug 17, 3:47 PM
    • 25,775 Posts
    • 15,230 Thanks
    • #2
    • 10th Aug 17, 3:47 PM
    • #2
    • 10th Aug 17, 3:47 PM
    Remember that you can have both stocks and shares and cash - you could hedge your bets.
    • Alexland
    • By Alexland 12th Aug 17, 7:42 AM
    • 2,725 Posts
    • 2,064 Thanks
    • #3
    • 12th Aug 17, 7:42 AM
    • #3
    • 12th Aug 17, 7:42 AM
    4 to 6 years is a fairly short timrframe to be investing and within a couple of years there will only be 2 to 4 years. Maybe a bit more if they stagger the withdrawals over 3 years eg Uni.

    VLS80 or VLS100 seem very high risk for your situation but I am also concerned about bond interest rate sensitivity.

    Maybe if you want to take on risk for the possibility of return buy both VLS60 and VLS80 to give you portfolio a 'VLS70' weighting? If it goes well for you in the first 2-3 years then I would be tempted to sell and move to a cash JISA to lock in the benefits. If it goes badly hold for as long as possible and try and keep withdrawals to a minimum.
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