For my niece I bought A2PKXG (VANGUARD, FTSE ALL-WORLD ACC) in my own brokerage.
My criteria were one global, accumulating and low cost stock ETF, and I like Vanguard.
(Disclaimer: I’m not originally Swiss and neither is my broker so do your own diligence on swissness compatibility).
My own investments are a bit more elaborate so it keeps it nicely apart from my positions.
Real MVP here 
Though I would allocate at least 10% or 20% as some “fun” money that they can just use or squander upon turning 18. I mean… leaving all of it running and compounding is hard at that age. And maybe not even wise, when they could spend it on travelling or spending a few months abroad instead. The temptation to sell a part of the portfolio for consumption is probably there - and once you begin with that, when does it stop?
Eh, I am big on responsibility, daddy’s door and arms will always be open, but they need to learn too. It won’t be a big position, daddy got to have some fun too, but it should be a good start!
This was rocket science for my family when I was my kids’ age, my family’s perception of investing is probably something along the lines of someone dressed in a suit, drinking champagne and snorting cocaine, walking a tightrope over a river filled with crocodiles.
Fun fact, looking above at @Bojack’s post, I had a similar booklet my grandma put for me when I was a kid, in a farmers’ cooperative in Greece (long defunct). 18 years of contributions totaled about 500 euros 
we are using the new True Wealth child portfolio and so far so good. I like that’s in the name of our son, so no chance to mingle that up somehow.
After some trial and error, I would reccomend the option of opening an account in your own name with a low-cost investment solution like Yuh, Degiro, etc. that has low/no brokerage fees and no custody fees.
There are no gift solutions for kids that really compete with the best solutions for adults. The True Wealth Child Portfolio is as good as child accounts get right now, but you still have a wealth management fee of 0.25-0.50%.
I eventually settled on a Yuh account, and let the child help decide how their money should be invested, which helps to educate them about investing. They can cash out when they turn 18.
Totally agree. Combination is working not too bad for me so far. I have ended up with an investment account in my name. Plan to transfer positions similar to @Mirager and in the meantime, I started a “salaire de jeunesse” with my oldest (13) to teach him budgeting and start slowly the ins and outs of FIRE. He’s loving the fact that he can prioritise himself and saves enough money to buy what he wants after (minor) obligations and expenses are paid.
I expect this will end up evolving like @San_Francisco describes so that “bigger” fun money becomes part of the budget as he gets older….we work to live, not live to work 
Disclaimer: La salaire de jeunesse requires that you let you kid make mistakes but it’s probably not a good idea for everyone even if it’s a great idea for others
There is another aspect.
You run a regular investment plan for two children with a goal of transferring them the accumulated amount when they reach 18.
Child 1 receives his/her money, say, 20k, at the top of a bull run.
Child 2 receives his/her money after a 20% decline from the top. Say, 18k.
Are you prepared for this? Is it fair?
Yes. Equal number of positions. Not money. So at the moment I decide I will give the positions it will be equitable if not equal in value at that moment.
Not a question of fair with market timing. If anything that’s part of the lesson.
Ps. Besides you need to also consider that I want the investment account in my name so that if one of my kids has issues at 18, they ain’t getting “Jack” until their head is screwed on correctly 
Reframe it as receiving X shares of stock/fund Y at time Z.
Fair or not, it can be very educational.
Interesting and fair points in the last posts. Even preschoolers have a strong sense of justice, especially among siblings. I can’t even imagine about tomorrow’s teenagers and young adults, and whether these different values are a valuable or educational lesson for them with money they didn’t earn. I doubt it.
Luckily, I’ve got some years to make up my mind.
As of today, I’ll likely keep larger amounts “hidden” in my name and try to educate them a different way.
Or if ages are close, wait until youngest is at the desired age and give to both at the same time.
Mine will all get the same. Once I’m certain it won’t be spent on a luxury car or a dressage horse. 
That wouldn’t be in the spirit of the funders. Hopefully, they won’t even need it by then 
I get the pessimism but you can’t isolate this specific lesson from all the others they need raising your kids.
Every kid is different and every parent as well. Sometimes you can do your absolute best and still have issues - shit happens. However it’s equally likely that if they don’t get this lesson, it’s not necessary anything to do with this specific lesson but perhaps more than a few others missing along the way 
I also get this…my daughter may buy a horse too!! 
However while my intention is also for a kick start to their retirement, once the money is theirs …it’s theirs. I’d rather see her smother a horse with love than potentially regret never being able to afford her dream.
…of course, I will never abandon my kids but if she uses the fund like this, she ain’t living at home till she’s 65 either
Does anyone understand the tax implications of having the child’s assets in their names vs the parents?
If I hold a unit of VT in my own name, i would need to pay high marginal tax rates on any dividends (and also wealth tax). Is that different if it’s in the child’s name but I’m the custodian?
As far as I remember, for tax purposes the assets of your child are your assets until they need to fill out their own declaration.
I think (but please check with your tax guy) that if it is held in the child’s name it’s not taxable but you do need to declare it in your tax return so that it is not a surprise when they turn 18 and suddenly have a windfall of money. There may be some limitations around ability withdraw before the child is an adult. Check that with the tax guys
That would be way too easy to circumvent taxation 
Bern confirms you have to declare wealth and income from wealth (interests/dividend) in the parents declaration.
I’m not pessimistic, quite the opposite. Maybe a bit anxious about having to deal with teenagers in a few years, but that will pass.
Good luck 
Hello everyone,
I’ve read several topics on this forum, but many of them seem a bit outdated.
I’m planning to make an investment for my daughter, who is currently three years old. Initially, I thought about investing 100 CHF per month in stocks, but now I’ve decided to increase my budget for her future.
Here’s my current plan:
If I had started this investment from her birth, I would need an initial investment of 7,200 CHF (3,600 CHF for stocks and 3,600 CHF for crypto).
Regarding the stocks, I’m considering using Interactive Brokers (IB). As far as I know, it’s best to invest every three months to minimize fees. For crypto, I plan to open an account in my wife’s name or using a cold Wallet (I have already a Ledger).
Here are my questions:
Thanks in advance