Invest For The Grandkids
Money Magazine Australia|August 2017

They’re only four years old or younger ... but it’s never too early to start building wealth for the future

Susan Hely
Invest For The Grandkids

NAME: John Prentice

STATUS: Retired grandfather of three young boys.

QUESTIONS: I would like to put aside $1000 a year for each of my three young grandchildren, who are aged from 18 months to four years. What is the best way to invest? Should I set up one fund for all three or set up three separate funds?

ANSWERS: Hold your grandchildren’s investments in your name, perhaps with an account designation. While one account may save you money, three separate accounts will give your kids a greater sense of ownership and they may like to contribute to them when they are older. As an investment, our experts’ suggestions include low-cost, diversified exchange traded funds.

This story is from the August 2017 edition of Money Magazine Australia.

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This story is from the August 2017 edition of Money Magazine Australia.

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