How should I invest or save for kids university fees?

[gbh2930]

Three children hopefully going to university in 8, 10 and 14 years time. If I have a lump sum available to invest for this purpose, whats the best thing to do with it?

 

[mercman]

On the small bit of information you have given, I personally think you might be best investing the money in ETFs. Don't bother with the normal funds that are widespread in the Irish market. These are prone to all types of fees which will eat up any gains that might be made. Have you considered the Government backed Solidarity Bond sold and run by An Post ??

The choice is yours, but please don't be ruled by sales men of Financial products.

 

[gbh2930]

Bear in mind when I say the following that I'm not really sure I know what I'm talking about but having said that...

My thinking is that I need to adopt some kind of strategy similar to pension "lifestyling" strategy where funds are moved from riskier investments to safer homes the closer you come to needing them

And any type of standard fund/index is only appropriate when 10+ years to invest?
10+ years to go: standard fund/index - probably ETF as suggested
5-10 years to go: something less risky - maybe some kind of bond related fund/index?
<5 years to go: Savings accounts or state savings as suggested

I came across something called a bond index fund. Can that be invested in via an ETF?

Really not sure on the timings - pulling these numbers out of the air...

ETF sounds good though

 

[leroy67]

What are your goals, to protect the monies with a small guaranteed return to keep in line with inflation or to invest your monies to beat inflation? How much of these monies if any are you prepared to lose? What is your risk profile? These are the questions you need to ask yourself, If you are not open to risk An Post is the best place for you and stay away from etf's. Seek independent financial advice and watch out for charges