If you have recently become a parent, it is clear that there are many things you need to take care of. Not least, you need to meet your baby's needs right now, but it can also be nice to think further ahead. Here are is, of course, child savings.
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A child savings account for your child
Just as you help your child all you can right now, you can it's nice to know that you can help your child on into adulthood. Is your child is about to leave home, it can be enormously comforting to have some some money in the luggage.
Not all parents choose to set up a child savings account. But it's a good idea to start as early as possible in your life. possible. That way, you can let the savings grow over a longer period.
Investment of children's savings
You can, of course, choose to leave the money for your child's child's savings in a bank account. However, the interest rate on children's savings is so low at the moment that you won't get much return this way. That's why you can also consider investing your child's savings, or at least part of them.
If you make a choice to invest the money, there are several things to keep in mind. Among other things, you are obliged to to act through the bank where your savings are placed. At www.mininvestering.dk you can learn more about investments.
Investing children's savings differs from others investments in that they are paid out on a specific date. With most other investments, you can simply wait to sell your securities until the when it pays off best. This is not the reality with a child savings.
That's why it's a good idea to consider how risky you want to be right from the start. If you've built up a large child savings it may be worth adjusting your risk appetite in the final years before withdrawal. That way, you're less likely to lose a lot of money.
Consider the bonds
Would you like to invest your child's savings without the risk, it might be a good idea to look at bonds. Having money invested in bonds is almost as safe as having it in the bank. However, bonds offer a higher return than interest rates, and you will have more money to give your child this way.