If the grandchild has any earned income (like a summer job), you can open this. It offers tax-free growth for life—a massive advantage for a young person.
This is the most common choice. You manage the investments, but the assets belong to the child. They get full control once they reach adulthood (usually 18 or 21). how to buy stock for grandchildren
Safer and easier. Buying an S&P 500 ETF (like VOO or SPY) gives them a tiny piece of the 500 biggest companies in the U.S. If the grandchild has any earned income (like
Print out the trade confirmation and show it to them. Explain that they now "own" a piece of that company. AI responses may include mistakes. Learn more You manage the investments, but the assets belong
Buy companies they know and use (like Disney , Apple , or Roblox ). This makes the gift "real" and teaches them about ownership.