The value of the fund's assets will go down as well as up. This will cause the value of your investment to fall as well as rise and you may get back less than you originally invested.
Tax rules for both Junior ISAs and ISAs may change in the future and their tax advantages depend on your individual circumstances.
Junior ISAs are available to UK resident children who do not have a Child Trust Fund (CTF) account. However, Parents and Guardians now also have the choice to transfer a child’s existing CTF into a Junior ISA.
Should you already have a CTF account or want to invest more than the Junior ISA limit, there are alternative routes to access the long-term growth potential through The M&G OEIC or The M&G Savings Plan.
A Junior ISA must be opened by someone with parental responsibility or legal guardianship for the child. This person will be the ‘Registered Contact’ for the account.
The M&G Junior ISA investment limits
|Investment minimums (per fund)
|By monthly Direct Debit
||By lump sum investment
|Initial amount of £10||Initial amount of £500|
|Top-up amount of £10||Top-up amount of £100|
The majority of M&G OEIC funds are available in the M&G Junior ISA.
The following share classes are currently available for investment in the majority of our funds within The M&G Junior ISA. This allows your client to choose the share class that best suits their investment needs.
• Sterling Class A Shares: Carry no entry charge and no exit charge.
• Sterling Class R Shares: Carry no entry charge and no exit charge. Please note commission is not payable on this Share Class.
Please refer to the fund availability and fund types table (on page 4-7) of the Important Information for Investors document for more information.
Available share types
Most funds offer the choice of two share types - income or accumulation.
Income shares entitle the holder to be paid the income attributed to those shares on the payment date. This is usually paid twice a year but can be paid annually, quarterly or monthly depending on the fund.
Accumulation shares don’t pay income. Instead, they automatically reinvest any income accruing to the fund and this is reflected in the share price. If a fund only offers Income shares, any net income can be reinvested to buy more shares.
If holders currently reinvest their income to purchase further shares of the same fund, they can continue to do so.
There are no entry or exit charges when you invest in The M&G Junior ISA. An ongoing charge will still apply, please see the relevant Key Investor Information Documents (KIIDs) for details.