STOCKPLAN: A Flying Start - Investing for University
Tuition fees are set to rise next year, with students paying on average over £8,600 a year to study at an English university.
According to official figures*, in 2013 - 2014 a third of English universities will charge the maximum £9,000 annual tuition fee as standard for a degree. Over three quarters will charge the top rate for at least one of their undergraduate courses. These latest figures show that fees of more than £6,000 a year are becoming the norm rather than the exception.
For parents and grandparents looking for ways to help finance their children / grandchildren through university, STOCKPLAN: A Flying Start could be an attractive option. STOCKPLAN: A Flying Start is a flexible, low-cost, investing for children scheme which provides access to the professionally managed portfolio of global equities of The Scottish Investment Trust PLC (SIT). It is offered by SIT Savings Ltd, The Scottish Investment Trust's wholly-owned subsidiary.
Sherry-Ann Sweeting, Marketing Manager, SIT Savings Ltd, comments: "Parents want to provide their children with the best possible start to adult life and this may include the opportunity of going to university. However, they won't want this opportunity to turn into a long-term financial burden for their children.
"History suggests that, over the long term, the stockmarket has proved to be one of the best ways to create wealth.
"STOCKPLAN: A Flying Start can be used by parents wanting to invest in the stockmarket for their children. The low costs associated with the plan ensure that money invested is not eaten away by the high management charges which can be found with some other types of investing for children products."
"By choosing to invest on a regular monthly basis, you can help to ensure that your child starts his or her adult life with a useful lump sum, which can be used towards the costs of going to university."
Key product features of SIT's STOCKPLAN: A Flying Start are:
- No initial or annual management plan charges, other than stamp duty (0.5%) and dealing spread (average 0.5%), which means the money invested goes further and is not eaten up by costs.
- Flexible investment options: Monthly investment (minimum £25) can be stopped and restarted at any time. Occasional one-off lump sums can also be invested (minimum £250).
- It costs just £11.95 to sell: There is no minimum amount and sales can be made at any time.
- Twice yearly statements
Past performance may not be repeated and is no indicator of future performance. The capital value of shares and the income from them can go down as well as up as a result of market and currency fluctuations and cannot be guaranteed. This means investors may not get back the amount originally invested.
* Source: English university fee levels for 2013/14 published by the Office for Fair Access (Offa).