No. of Recommendations: 15
As each of my 3 kids reached 18 years or age, or there abouts...I opened a Share Owner Account in their name, that I have trading authourity over. In that account(s) I seeded $5000.00 and then did a group buy kinda thing where certain stocks are bought on regular dates, a group buy with very low fees. I split the money over 5 X $1000 positions of things like JNJ, a Canadian Bank, a Canadian Insurance Co., a Canadian major pipeline, and a Canadian Energy Company. Share Owners allow true drips of the dividends, ie. you purchase fractions of shares. The intent was to a) buy blue chip, dividend paying stocks for safety, growth and dividend income to reinvest. and b) use their own stocks/money to teach/share with them.

I would say the experiment was of mixed success. Each child is different and showed both interest and indifference at different points, as school and life happened.

Timing was also important as daughter number one got here portfolio in early 2008, when the market was high and number two got her's in late 2009 when the market was very low. Child number 3 got his in about 2012/13 so better, but in the middle of the other two in price. My point is really that LUCK plays a large part in total return.

Bottom line is they each know more about investing and equity markets than before the process started and it all makes for some interesting conversations at family get togethers.

Subsequent to my seeding of accounts, there Grandma gave a cash gift to each of them, and I suggested/offered to invest those funds also, into there accounts. Each of them separately, and without duress blessed that approach. The best part of that is the knowledge that they understand the power of reinvesting their dividends into profitable, growing businesses.

Two of the 3 have now moved out of our house to their own homes with husbands/significant others and their accounts have now been moved to other financial institutions but they have not cashed any of those equities in, and in fact continue to add new money.

I still control the youngest childs account until he leaves, likely within the next year, or else he tells me he wants to take the reigns himself.

Its been an interesting journey.


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