By investing in a designated investment account for your child, you save in a way that they become the beneficial owner of the shares. While the child will benefit from the income and capital growth, the funds are held in a “designated” account. This means that the investments are solely owned by the parent or grandparent, rather than the child.

Designating the fund only provides the intention to pass the funds onto the child, rather than them becoming legally theirs when they turn 18.