Where can I find the best childrens trust fund account?
There are two types of Child Trust Fund, one is a simple savings account and the other is an account that invests in the stock market. You have to chose one or the other, you can’t have both. The best Child Trust Fund savings account is the one that pays the highest interest rate. Look in the Finance Section of one of the serious newspapers at the weekend, there is usually a list showing which accounts currently pay the most interest. The best Child Trust Fund stockmarket account is more difficult to decide. Generally I’d suggest you are looking for a medium risk OEIC (unit trust) account. We chose the HSBC one that invests in large UK stocks. If you decide to chose a stockmarket account try to find one that calls itself a ‘stakeholder’ account. Stakeholder means that it will never charge you more than 1.5% a year for investing your money. That’s about the cheapest rate you will get for an actively managed account.
