Stakeholder

• A stockmarket fund based investment, so your capital is not secure
• No initial or exit charges, annual charges capped at 1.5%
• Minimum top-up contribution of £10
• The CTF must reduce risk between the ages of 13-18, most probably by moving towards cash, known as 'Lifestyling'
• The majority of Stakeholder CTFs are FTSE All Share Index Trackers with an annual charge of 1.5%, so investment choice is limited
• We believe that the F&C Stakeholder CTF (a FTSE All Share Tracker fund) is worth considering. There are no exit penalties should you decide to move to a different CTF in future

Full details, key features and an application form are available from the F&C website here.

Cash

• A straightforward bank or building society savings account
• You should shop around for the best rates on offer
• Some rates may include an introductory bonus, if so then check the terms of the bonus
• You can move between CTF providers, so if a rate becomes uncompetitive you can switch to a more attractive rate elsewhere
• To compare the rates on offer, visit the Moneyfacts website by clicking here

Stocks & Shares

• Range from straightforward investment funds to a 'self select' option where you can choose individual stocks & shares
• Greater choice than Stakeholder, but generally more expensive
• The majority of these plans are aimed at parents wishing to make additional annual CTF contributions rather than simply investing the basic voucher
• Unless parents require the tax benefits of a CTF, we believe there is currently more choice and better value outside of CTFs for top-up investments