Got a credit card? use our Credit Card & Finance Calculators
Thanks to jfgw,Rhyd6,eyeball08,Wondergirly,bofh, for Donating to support the site
Junior ISA
-
- Lemon Half
- Posts: 7383
- Joined: February 7th, 2017, 9:36 pm
- Has thanked: 10514 times
- Been thanked: 4659 times
Junior ISA
My 14 year old daughter has £6K in her junior ISA in cash. We are adding £8K pa to that through monthly payments and gifts for birthdays, Christmas and exams. We will add for the next 4 years.
I've a couple of stocks on the radar for her to invest in - but I wonder if anyone has any stocks they think "we" should look at. She knows this is a long term investment and the horizon is 5-10 years.
My radar stocks are Cranswick, Jet2.Com & Gleeson's. The JISA is with AJ Bell and I would like to look at a decent small companies fund if they have one available.
Thank you
AiY
I've a couple of stocks on the radar for her to invest in - but I wonder if anyone has any stocks they think "we" should look at. She knows this is a long term investment and the horizon is 5-10 years.
My radar stocks are Cranswick, Jet2.Com & Gleeson's. The JISA is with AJ Bell and I would like to look at a decent small companies fund if they have one available.
Thank you
AiY
-
- Lemon Slice
- Posts: 496
- Joined: August 19th, 2017, 8:37 am
- Has thanked: 153 times
- Been thanked: 240 times
Re: Junior ISA
I set one up for my granddaughter last year. Decided to look at growth ITs. First one was FCIT and then SMT, so far they are doing what I hoped. The difference is you are looking at 4 years, whereas i am looking at 18.
Good luck
Good luck
-
- Lemon Half
- Posts: 6099
- Joined: November 21st, 2016, 4:26 pm
- Has thanked: 443 times
- Been thanked: 2344 times
Re: Junior ISA
AsleepInYorkshire wrote:... but I wonder if anyone has any stocks they think "we" should look at. ...
If I am honest, with a pot that size, and a presumed requirement to have some degree of diversification to mitigate single stock risk (although that would be a good and cheap early lesson in investing too), I can't see an economically efficient way of investing outside of a collective or fund as you suggest.
Sorry that's somewhat boring and not in the spirit of the question, or Board you posed it on.
-
- Lemon Half
- Posts: 6099
- Joined: November 21st, 2016, 4:26 pm
- Has thanked: 443 times
- Been thanked: 2344 times
Re: Junior ISA
seagles wrote:I set one up for my granddaughter last year. Decided to look at growth ITs. First one was FCIT and then SMT, so far they are doing what I hoped. The difference is you are looking at 4 years, whereas i am looking at 18.
Good luck
To be fair he said 5-10 years, not 4, as the investment horizon.
-
- Lemon Half
- Posts: 7383
- Joined: February 7th, 2017, 9:36 pm
- Has thanked: 10514 times
- Been thanked: 4659 times
Re: Junior ISA
dealtn wrote:AsleepInYorkshire wrote:... but I wonder if anyone has any stocks they think "we" should look at. ...
If I am honest, with a pot that size, and a presumed requirement to have some degree of diversification to mitigate single stock risk (although that would be a good and cheap early lesson in investing too), I can't see an economically efficient way of investing outside of a collective or fund as you suggest.
Sorry that's somewhat boring and not in the spirit of the question, or Board you posed it on.
No need to apologise. I think the dealing costs are £1.50 per trade. I'd have to check as I've ingested way too much information today
It's a very valid point and one "we" need to consider carefully
AiY
-
- Lemon Slice
- Posts: 387
- Joined: November 4th, 2016, 12:18 pm
- Has thanked: 351 times
- Been thanked: 201 times
Re: Junior ISA
I invest in an A J Bell JISA for my kids. Amongst other funds we have bought Mercantile IT for them. It is a UK Investment Trust investing in medium and small size companies and has a reasonable track record
https://am.jpmorgan.com/gb/en/asset-management/per/funds/investment-trusts/mercantile-investment-trust/?gclsrc=aw.ds&gclid=CjwKCAjw-ZCKBhBkEiwAM4qfF18ReVB4k_KcLGJz0kLCfsLhUu4FCSXjS0ClpaAadlTaPa7XZbRKqxoC_AUQAvD_BwE
https://www.hl.co.uk/shares/shares-search-results/m/mercantile-investment-trust-ord-2.5p
https://am.jpmorgan.com/gb/en/asset-management/per/funds/investment-trusts/mercantile-investment-trust/?gclsrc=aw.ds&gclid=CjwKCAjw-ZCKBhBkEiwAM4qfF18ReVB4k_KcLGJz0kLCfsLhUu4FCSXjS0ClpaAadlTaPa7XZbRKqxoC_AUQAvD_BwE
https://www.hl.co.uk/shares/shares-search-results/m/mercantile-investment-trust-ord-2.5p
-
- Lemon Slice
- Posts: 387
- Joined: November 4th, 2016, 12:18 pm
- Has thanked: 351 times
- Been thanked: 201 times
Re: Junior ISA
AsleepInYorkshire wrote:dealtn wrote:AsleepInYorkshire wrote:... but I wonder if anyone has any stocks they think "we" should look at. ...
If I am honest, with a pot that size, and a presumed requirement to have some degree of diversification to mitigate single stock risk (although that would be a good and cheap early lesson in investing too), I can't see an economically efficient way of investing outside of a collective or fund as you suggest.
Sorry that's somewhat boring and not in the spirit of the question, or Board you posed it on.
No need to apologise. I think the dealing costs are £1.50 per trade. I'd have to check as I've ingested way too much information today
It's a very valid point and one "we" need to consider carefully
AiY
The dealing cost is £1.50 per stock if you use their monthly regular investment service.
-
- Lemon Half
- Posts: 6099
- Joined: November 21st, 2016, 4:26 pm
- Has thanked: 443 times
- Been thanked: 2344 times
Re: Junior ISA
fisher wrote:AsleepInYorkshire wrote:dealtn wrote:
If I am honest, with a pot that size, and a presumed requirement to have some degree of diversification to mitigate single stock risk (although that would be a good and cheap early lesson in investing too), I can't see an economically efficient way of investing outside of a collective or fund as you suggest.
Sorry that's somewhat boring and not in the spirit of the question, or Board you posed it on.
No need to apologise. I think the dealing costs are £1.50 per trade. I'd have to check as I've ingested way too much information today
It's a very valid point and one "we" need to consider carefully
AiY
The dealing cost is £1.50 per stock if you use their monthly regular investment service.
Granted that's low (lower than I'd imagined). However £8,000 over 4 years is £167 a month. That's still close to 1% lost in dealing fees. I don't use funds but presumably that's not unusual for them either?
All relatively cheap lessons in the big picture of investing for a teenager. I hope she enjoys the education. Starting early enough to be in a position to "stop" early enough too I hope.
-
- Lemon Half
- Posts: 7383
- Joined: February 7th, 2017, 9:36 pm
- Has thanked: 10514 times
- Been thanked: 4659 times
Re: Junior ISA
dealtn wrote:fisher wrote:AsleepInYorkshire wrote:No need to apologise. I think the dealing costs are £1.50 per trade. I'd have to check as I've ingested way too much information today
It's a very valid point and one "we" need to consider carefully
AiY
The dealing cost is £1.50 per stock if you use their monthly regular investment service.
Granted that's low (lower than I'd imagined). However £8,000 over 4 years is £167 a month. That's still close to 1% lost in dealing fees. I don't use funds but presumably that's not unusual for them either?
All relatively cheap lessons in the big picture of investing for a teenager. I hope she enjoys the education. Starting early enough to be in a position to "stop" early enough too I hope.
Sorry, sorry, sorry
We're adding 8K per year
AiY
-
- 2 Lemon pips
- Posts: 185
- Joined: August 1st, 2021, 2:51 pm
- Has thanked: 155 times
- Been thanked: 122 times
Re: Junior ISA
Would it not be useful for the lesson to be "passive investment, asset allocation, low cost"?
Should the answer to the question above be yes, then a selection of ETFs perhaps from:
VUKE, VUSA, VERX, VGOV or INXG
If you want more esoteric:
HPRO or VECP
Or even:
VEMT, SGLP or IPRV
Should the answer to the question above be yes, then a selection of ETFs perhaps from:
VUKE, VUSA, VERX, VGOV or INXG
If you want more esoteric:
HPRO or VECP
Or even:
VEMT, SGLP or IPRV
-
- Lemon Half
- Posts: 6099
- Joined: November 21st, 2016, 4:26 pm
- Has thanked: 443 times
- Been thanked: 2344 times
Re: Junior ISA
AsleepInYorkshire wrote:Sorry, sorry, sorry
We're adding 8K per year
AiY
No apology needed, let alone 3! It was me that made the mistake by misreading.
-
- Lemon Half
- Posts: 7383
- Joined: February 7th, 2017, 9:36 pm
- Has thanked: 10514 times
- Been thanked: 4659 times
Re: Junior ISA
dealtn wrote:AsleepInYorkshire wrote:Sorry, sorry, sorry
We're adding 8K per year
AiY
No apology needed, let alone 3! It was me that made the mistake by misreading.
I know but I should have made it more concise
I still think it's a valid point though and "we" do need to consider "costs".
Thank you for your advice. Its free too
AiY
-
- Lemon Slice
- Posts: 496
- Joined: August 19th, 2017, 8:37 am
- Has thanked: 153 times
- Been thanked: 240 times
Re: Junior ISA
dealtn wrote:seagles wrote:I set one up for my granddaughter last year. Decided to look at growth ITs. First one was FCIT and then SMT, so far they are doing what I hoped. The difference is you are looking at 4 years, whereas i am looking at 18.
Good luck
To be fair he said 5-10 years, not 4, as the investment horizon.
Sorry I meant paying in, not how long to be left to build. I was considering buying individual shares and then decided I no longer have the "patience" to start building portfolios again and as income us not the driving force, let someone else do the managing.
-
- Lemon Quarter
- Posts: 3191
- Joined: December 7th, 2016, 9:09 pm
- Has thanked: 357 times
- Been thanked: 1052 times
Re: Junior ISA
I set up JISA's for two of my children 3 years ago. My intent was to introduce young adult children to the world of investing.
I picked 2 investment trusts and helped them to select a share. It worked well with my daughter but my son is just looking at stunning growth rather than something that he wants to do.
My choices were City of London trust (CTY) and Scottish Mortgage Trust (SMT). One picked clothes and hence (with my advice) went for Associated British Foods, as in Primark. The other a games company, Frontier Developments (Elite was a thing in my youth and the company was/is doing great). He is very interested in computer games.
CTY was not a wise choice, but an important one. I think that it's very important to pick an investment that will yield enough to cover the fees. Today I would chose Murray International (MYI), but CTY is still serving the purpose for which it was bought in the JISA.
SMT was picked for growth.
Since then changes to my son's account were to trim the holding in SMT and add Foreign & Colonial (FCIT) and Pacific Horizon Trust (PHI).
Like seagles aiming for growth and accepting high volatility. I'm impressed by the XIRR figure achieved.
My daughter's JISA became an ISA, so I don't know all of what she is doing with it. I do know that she trimmed SMT and added International Biotech trust (IBT). She also loves being able to tell people that she owns part of Primark.
All that said, if risk aversion is an issue then there is a lot to be said for trackers or even a equity/bond mix. You did say that it's currently all cash.
Then again you asked about a smaller company fund. I personally have an investment in BMO global smaller companies trust (BGSC).
I recommend the Investment trust handbook (free).
https://harriman-house.com/ithb2021
I also recommend the aic website. You can easily search for investment companies and compare them, Though there are other websites that offer that as well.
https://www.theaic.co.uk/
I picked 2 investment trusts and helped them to select a share. It worked well with my daughter but my son is just looking at stunning growth rather than something that he wants to do.
My choices were City of London trust (CTY) and Scottish Mortgage Trust (SMT). One picked clothes and hence (with my advice) went for Associated British Foods, as in Primark. The other a games company, Frontier Developments (Elite was a thing in my youth and the company was/is doing great). He is very interested in computer games.
CTY was not a wise choice, but an important one. I think that it's very important to pick an investment that will yield enough to cover the fees. Today I would chose Murray International (MYI), but CTY is still serving the purpose for which it was bought in the JISA.
SMT was picked for growth.
Since then changes to my son's account were to trim the holding in SMT and add Foreign & Colonial (FCIT) and Pacific Horizon Trust (PHI).
Like seagles aiming for growth and accepting high volatility. I'm impressed by the XIRR figure achieved.
My daughter's JISA became an ISA, so I don't know all of what she is doing with it. I do know that she trimmed SMT and added International Biotech trust (IBT). She also loves being able to tell people that she owns part of Primark.
All that said, if risk aversion is an issue then there is a lot to be said for trackers or even a equity/bond mix. You did say that it's currently all cash.
Then again you asked about a smaller company fund. I personally have an investment in BMO global smaller companies trust (BGSC).
I recommend the Investment trust handbook (free).
https://harriman-house.com/ithb2021
I also recommend the aic website. You can easily search for investment companies and compare them, Though there are other websites that offer that as well.
https://www.theaic.co.uk/
Return to “Stocks and Share Dealing Discussions”
Who is online
Users browsing this forum: No registered users and 26 guests