This is the best investment you can make for your kids! You may wonder why I am asserting this, but I want you to patiently follow as I reveal some salient facts to you.
By virtue of my job, I usually have the opportunity of talking with elderly folks who seems to have always invested. I know of one who almost made it a practise to make a considerable investment in favour of his children whenever they are getting married.
Recently interviewed another of such investors who shared how one of the children disposed of one of such investment they had made in his favour to acquire a bigger portfolio on the other side of town.
Now, when you are thinking of the best investment for the benefit of your children, there are so many options open to you. You could decide to do any of the following; buy an insurance policy, save some money regularly into a particular account, open an investment account, buy bond/treasury bills, place huge funds in an interest yielding account, buy precious metals, collectibles, properties, etc.
The list is almost endless and what you do really depends on the information and expertise you have. That said however, for a balanced, bad economic downturn resistant effect, you need to have a good mix of these investment options in what you are trying to leave for or give to your children.
So, they don’t arrive in the future to discover an emptied (devalued, distressed and worthless) safety nest.
I always advise therefore that you have both the liquid but low yield and the semi-illiquid/illiquid but high yield investments in your child’s portfolio.
At this stage, I can only suggest what I know to be the best investment, have seen people do and I have started to do myself.
And that is buying up well structured real estate deals (plots and /or houses) in the name of my children apart from saving up some money for them in one of these specially designed Children Bank Account products and a co-operative Society.
The idea is that the property I bought at N360,000 per plot in 2008 and paid for it over 24 – 36months (finishing 2010/2011) is now(2012) worth over a million and will continue to appreciate over the next 10 to 15years when my currently 6year olds may be calling upon it to do any of the aforementioned things.
I see real estate as the best investment because it allows me to enjoy maximum appreciation on the investment over the period because I bought at the take off of such investments and from the direct dealers (the developer promoting the project).
This usually makes for maximum room for gain.
The irony of the developing and under developed world is that it is the place where social security is needed the most yet absent. People are at greater risk of losing income, jobs, lives and properties here more than it occurs in the developed economies and self help efforts such as appropriate personal investments (egg-nest) for future purposes will help ameliorate the deficiencies.
Your children will be opportune to put the returns from this investment into such uses are: advance studies school fees, wedding and starting a family life, starting a business, retirement fall back position, etc.
The bottom line is that real estate investments such as the emerging market real estate deals are sure bets for your children’s future planning. That makes real estate the best investment for you.
Take advantage of the recommended ones mentioned above while you still have the chance.