Investing Money for Children

[manutd2465]

I want to invest some money �2000 for each of my kids, any idea what will give me the best return?

[BigMac]

It really depends on what you mean by 'best return'. It also depends on their current age(s) and when you want to give them control over the money. I also assume you mean children, not goats.

Safest - probably a building society or bank account for each of them. Make sure that the income tax relief form is signed though. Also, don't necessarily be fobbed off with a children's account as not all of these are as generous as they probably should be.

Consider Premium Bonds - no capital increase and not necessarily any winnings... but they just might win a million.

Depending on your own tax and marital status, look at trust fund options - keeps the money away from the children (and you!) until they reach a specific age - and could be invested in the FTSE or other stocks/bonds/etc.

If you have a financila adviser, talk to her/him.

FYI, my son has a bulding society account of which I am trustee - he can't have access until at least the age of 16; also, his grandparents give him premium bonds and a god-mother gives him NS&I Baby/Children's Bonds.

Hope this helps.

[BigMac]

Also, see the best buy tables in the weekend papers - they sometimes cover children's accounts.

[pedigreechum]

Try having a look at http://www.uknetguide.co.uk/Finance/Child_Trus t_Fund_Brochures_/

You can get a load of brochures sent to you that will give you a really good idea as to which one is for you.

I requested some brochures from UKNetGuide before and they came remarkably quickly