Child Trust Fund. Where should I put my childs £250 voucher?

Question

I would like a high risk account - I dont mind if we lose money, I would like to risk losing it if theres a chance we could make more in the long run. Where should I invest it? A bank? I just dont know????

Answer 1

If you are investing for a child, long term and safe growth are important. Its a start in life for the child and should be invested wisely. Look for safe return no tax and historical growth.  

Answer 2

I don't think it matters, we put ours in Barclays, to be honest i don't believe they will be worth anything in 18 yrs time, like endowment policies, they will just disappear.

Answer 3

There are 3 different types of accounts you can put the money into, a savings account, a stakeholders account or put it into a company who will invest it into shares. The highest risk is the shares option, the childrens mutual do one of those accounts and so does liverpool victoria. The stakeholders acoount is a mixture of a share account and a savings account, the account provider will invest the money into shares. When the child hits 7 and 13 you have the option to put the money into a savings account or keep it in shares. Most financial institutes offer these, high street banks such as HSBC and nationwide do.

http://www.childtrustfund.gov.uk/templat...

the link above will take you to a list of providers and the accounts they provide.  

Answer 4

Speak to an independent financial advisor.  Make sure they dont charge you though.  (There are some out there that dont charge by the way!)  Or look through the pack that came with it.  

Answer 5

They should send you an info pack listing all the banks shares etc that you can put the trust fund into.

Answer 6

i don't think child trust funds come with a high-risk option - they're basically like an isa or long-term savings account, with a percentage of interest paid - you put the money in, and your child gets it when they're 18

pretty much every bank now has a child trust fund account, so go to your bank/building society and ask what services they provide; also look online to get the best rate of interest