Indo Article today about Kids Bying ETFs/Investing

[irbx]

Hi

This week indo had artical about investing €600 communion money and adding €250 a year to EFT to teach children about investing.

But to my knowage Children cant buy EFT's directly it would have to be done via a Parent own account in Parents name or is their provider that does this for such low value investment?

How much money would your child have at 25 if they invested their communion money and added €250 every year?

Research by Ulster Bank suggests that the average amount of cash received by a child in Ireland for their first holy communion is in the region of €500 to €600.

www.independent.ie

 

[Brendan Burgess]

Very odd article.

Research by "Ulster Bank"?

Ah, that is on the amount of money people get for their Holy Communion. So it's old research.

 

[Brendan Burgess]

I strongly agree with investing kids' money in equities though as it's a great learning experience.

 

[Persia]

My youngest is 14, he had a lot of money sitting in a post office (5k) doing nothing. Opened an ETF under my name for him with the understanding it's a long term thing.
Gets to see money frow and shrink and grow etc.
Daughter opened one in her own name when she turned 18...it was great when money was increasing but trumpski put an end to that fairly quickly. She remains optimistic about US though....

 

[CharlieMac]

Opened an ETF under my name for him

How will you transfer the funds back to your son? Annual small gift exemption?

 

[joe sod]

I presume you mean ETFS, but what about deemed disposal every 8 years and all that malarkey, even if its a youngster holy communion money the state will still be looking to siphon off some of the blood at 8 years, when the child is 15 years old approximately

 

[Persia]

Will open another one when he hits 18, put the equivalent in cash into it and off he goes. Will keep the other one in my own name fir a while

 

[JoeRoberts]

A better lesson at that age is to teach them to spend their savings so that they learn how to make choices. So they pay a % towards football boots or runners.
They soon start to make sensible decisions re brand names.

 

[Steven Barrett]

Both my kids have units in the S&P 500. I gave them one each and they bought one each out of their own money. My 14 yo has zero interest in it. My 17 yo son tracks the value with the stock app on his phone and asks questions about what is going on with the tariffs.

As well as children learning about investing and money, parents should learn from the children. Invest and then get on with the rest of your life and let the markets do their thing.

 

[joe sod]

My 17 yo son tracks the value with the stock app on his phone and asks questions about what is going on with the tariffs

Is your son not asking you why did you not by units in a global index rather than the s&p 500?