Sep 30 2008
In order to give their children the best financial start in life, parents have been advised to consider saving for them on a regular basis.
According to fund management company M&G, putting money into actively managed funds on a long-term basis may help consumers to prevent their offspring from falling into debt early in life.
Indeed, figures cited by the firm suggest that the annual living costs for UK students currently stands at £4,900, while tuition fees can set them back £3,145 per year.
M&G goes on to say that, if a parent had invested £50 per month since 1989 in the M&G Recovery Fund, they would now have accrued £27,000.
"As a parent myself, I am very aware of the demands that children can make on your finances, so, by investing regularly in an actively managed fund ... parents can look to ease the strain," stated Jonathan Willcocks, managing director of global sales at M&G.
Meanwhile, David Kuo, head of personal finance at Fool.co.uk, recently advised parents who are saving for their children to consider Child Trust Funds, describing them as a "good way" in which money can be accrued.
