Parents or guardians can boost the value of money given to their kids over Christmas with this week’s deal. Investment platform Orbis Access will match any deposit you make of up to £100 if you open a Junior Isa (Jisa) account with it before 1 January 2017.
What’s the deal exactly?
What this means, is that if you open the Isa and put in £50, Orbis Access will put in £50 too, bringing your total to £100. Putting in £100 will get you an extra £100, which is the threshold for this offer – so putting in £2,000, for example, will give you £2,100 in total.
Why should I care?
It’s free money.
What’s the catch?
The money you put into the Junior Isa must be invested in one of two funds – the Orbis OEIC Global Equity Fund, which has returned just over 16% in the last three years, or the Orbis OEIC Global Balanced Fund – which is up 14.4% over the same time period.
The other requirement is that the matched investment - the total amount you invested, plus the matched amount - must remain in the Jisa for a minimum of three years.
What other options do I have?
We recommend Vanguard LifeStrategy 40% Equity Fund as a good core low-cost holding for a child. You could top up the investment with actively managed funds, such as CF Woodford Equity Income, Marlborough UK Micro Gap Growth and Stewart Investors Asia Pacific Leaders.
But an investment Isa isn’t the only option, there are cash Isas for the less risk averse, savings accounts, premium bonds, and investment trust savings schemes to consider. See Giving Christmas money to your kids for a full rundown.
Where can I find out more?
Have a peep at the Orbis Access website for more information. Look out for the cranberry coloured bar (which also serves as a useful fee saving calculator) – and check the terms and further details underneath the ‘open a Junior Isa’ button.