A guide to investing for children

‘A good start in life’ is what all parents want for their children.

For today’s children, the path through the early years of adulthood looks rather different from, and more expensive than, what their parents experienced, let alone their grandparents. Higher education is now not only more important for getting many jobs, but it also comes at a much higher cost. Marriage can be a costly staging post for those who choose it. And getting on the first rung of the housing ladder is another growing cost.

If you want to help a child progress through this financial landscape, there are plenty of options to consider and the sooner you start planning, the better. In this guide, we explore how to make investments for the next generation, to give them a financial head start in adult life.

Important information

This guide is provided strictly for your general consideration only and represents our understanding of the law and HM Revenue & Customs practice as at 6 April 2024, including proposals in the Finance Bill 2022. The guide is not intended to (and does not) represent advice. It is essential that no action is taken or refrained from being taken based on this guide alone. Specialist advice (as referred to throughout the guide) is essential. Accordingly, neither Investec Wealth & Investment (UK) nor any of its officers, employees or contractors can accept any responsibility for any loss occasioned as a result of any such action or inaction.

The value of tax reliefs depends on your individual circumstances. Tax laws can change. The Financial Conduct Authority does not regulate tax, Will or trust advice. The value of your investment can go down as well as up and you may not get back the full amount you invested. Past performance is not a reliable indicator of future performance. Investing in shares should be regarded as a long-term investment and should fit in with your overall attitude to risk and financial circumstances.