Whilst many parents will hope that their children’s future behaviour will be based on the examples that they themselves have set, there is no guarantee that this will be the case. For every parent that believes their children will demonstrate a strong work ethic and a high degree of financial responsibility, you’ll find another that will worry their child will marry a gold-digger or throw money around like confetti.

If you think all the talking and financial education in the world won’t help, one option for this lack of trust, is a trust. Discretionary trusts enable you, or the trustees, to retain control over how the money is invested and how and when your children can access the money.

1. Saving & investing for goals - Being open about saving and investing for specific goals and sharing the risks, wins and losses you experience, will give your children an understanding of the importance of money management, the power of compounding and how to reach a goal in a planned manner.
2. Being organised – If you can openly show you maintain budgets, review your cashflow regularly, ensure bills are paid on time and regularly check your investments, it will communicate a sense of financial stability and control that your children will absorb. The converse is equally true.
3. A measured appetite for risk – It’s almost a given that children will be influenced by the type of investments their parents make. So, demonstrating a considered and measured approach to investment risk, and explaining decisions, is likely to influence their future approach.