Nov 27 2006
Children's savings schemes represent an easy way to save for children - as well as one that will last, according to an investment industry body.
The Association of Investment Companies (AIC) admits that while children's savings schemes are "unlikely to become this season's kids must haves", a £100 investment placed into an average investment company 18 years ago would now be worth £605 today, while £50 per month would now be worth £29,330.
With the returns available, the association claims that these investments offer a "thoughtful alternative" to a cash present.
Jemma Jackson, PR manager at the AIC, remarked: "[With] so many gifts unwrapped and then discarded, it may be worth also considering a gift that will be appreciated long into the future."
"With no penalties for stopping and starting, and minimum regular savings starting at £25 per month, children's investment company savings schemes are worth a closer look," she added.
Last month, statistics from the Building Societies Association showed that child trust funds remain a popular method of investment for parents, with 71 per cent opting for the cash child trust fund during September.
