Investing Child Trust fund vouchers?

Question

I have recently had a baby and have been given £250 Child trust fund voucher. What is the best way to invest this money?

Answer 1

I can't tell you where to invest it, as there are so many different accounts, some may suit you, some may not. And it depends on what kind of risk you are willing to take. There is a good website below - Money Saving Expert, he gives loads of advise on lots of money issues including CTF. Worth a look:

Answer 2

In these a/c the money will remain invested for at least 16 years and any interest or dividends will be tax free. I therefore recommend investing it in high some yielding, high quality shares, especially if you can top it up to the maximum.

This of course involves some risk and if you are the nervous type, invest it instead in a high interest building soc. Child Fund. If the interest rate averages at 6%, in 18 years, that £250 will become 714 and if you add another £250 every year it will become £8,190.

Answer 3

You are better off going to see a financial advisor, most give a free first consultation who will eb able to run throught your option better and more clearly then someone on here. He'll be able to tailor advice towards you and your situation. Stock at the moment is risky but you never know what it willl be like in 16 years time. Someone with a good financial knowlege will be able to explain the risks of each and help you find the best place to put it.

Answer 4

depends on you ! i chose the saving option as knowing my luck if money was invested through the buying of shares option , i would not make any for my children !! at least i know its gaining interest and i can add to it !

Answer 5

hi there no matter what trust fund you put it in it will go on stocks and shares anyway we just put ours in one

good luck