I’ve decided to invest my kids’ launching funds in a regular brokerage account and not a 529 because they may not attend college and I want them to have the freedom to use that money for any worthwhile launching expense. I’ve opted for a regular brokerage account and not an UGMA/UTMA because it’s our money (the kids aren’t contributing to it) so we want how it’s spent to be collaborative.
Here’s my question: What should we invest it in (they will be launching in 6 and 9 years)? (We also have one launching in 3 years but given the short timeline we’re keeping hers in a high yield savings account.)
We have our retirement accounts invested in Vanguard Target Retirement Funds and feel good about that. Should we invest these funds in that too and just choose a retirement date 6 years out? I fear we wouldn’t get much growth with an allocation that “safe.”
What say you, Personal Finance Club!?