Home | Savings Accounts | ISAs | Savings Bonds | News
You are here: Home » News » AIC urges families to save this Christmas

AIC urges families to save this Christmas

Christmas only comes around once a year, but the Association of Investment Companies (AIC) is encouraging families to start saving on their children’s behalf as well as spending money on Christmas presents for them.

While tax-free ISAs and high-interest savings accounts continue to be the most popular options, the association claims that investment companies have become popular when it comes to saving for children, allowing parents to tap into the long-term potential of the stock market.

AIC figures show that a lump sum investment of £1,000 made 18 years ago in the average investment company would have been worth £4,240 by November 30. And a £50 a month investment over 18 years in the average investment company would have been worth £26,171 by the same date.

Annabel Brodie-Smith, communications director at AIC, said: “Christmas wouldn’t be Christmas without an abundance of toys, but we are all aware of the limited shelf life of some presents that are opened and quickly forgotten. So it’s perhaps not surprising that some people want to make a more lasting contribution to their child’s savings.

“Investment companies give investors access to the long-term potential of the stock market. By investing in a range of companies on your behalf, they spread your risk and offer professional fund management. They have some unique characteristics that have contributed to generally strong long-term performance.

Contact Us | Privacy Policy | Terms of Use