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Freetrade Stocks and Shares Junior ISA Now Available
Freetrade has opened its new Stocks and Shares Junior ISA (JISA) ahead of the upcoming tax year end.
Freetrade’s new JISA is now available across all Freetrade plans, offering commission-free investing across more than 7,000 UK and global investments, including stocks, ETFs, funds, bonds and UK Treasury Bills. The JISA was announced earlier in the year but is now open for customers ahead of the tax year deadline. It is available to under 16s.
The launch comes as new data shows that there is still a communication gap when it comes to talking about investing. A survey of 2,000 UK adults by Freetrade found that despite over a third of Brits (38%) now investing, only 14% of investors ever discuss the stock market with friends, family or colleagues.
Viktor Nebehaj, Co-Founder and CEO of Freetrade, said: “The UK is getting better at talking about money, but investing can still be a taboo topic for discussion with family members. A JISA is a fantastic tool for breaking down these barriers and introducing your child to money and investing from a young age, allowing them to see first-hand the power of a long-term strategy to increase wealth over time.”
JISAs allow parents or guardians to invest up to £9,000 per tax year on behalf of a child, with all growth and income free from UK income tax and capital gains tax. Funds can be accessed by the child from age 18.
Despite these benefits, the Stocks and shares JISA remains underutilised. HMRC data shows that there are 1.25 million Junior ISA accounts in the UK, but 61% of these accounts are Cash JISAs compared to just 39% which are Stocks and shares JISAs.
Nebehaj added: “In an era of sticky inflation, putting your savings into cash means watching your child’s future purchasing power slowly erode. A Stocks and shares JISA turns time into an ally for families, giving your money the opportunity to grow and beat inflation over time.”
Freetrade also offers free Stocks & Shares ISAs and SIPPs, allowing parents and guardians to build their family’s financial future all in one place.
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