THE first ethical stakeholder Child Trust Fund has been launched by the Co-operative Insurance Society (CIS).
The fund is put forward in full support of Government efforts to ?kick-start' the savings of a new generation and to increasing financial understanding.
The move will see CIS linking with The Children's Mutual, the UK's only specialist in savings for children, to provide a CTF stakeholder account which will conform to the Sandler stakeholder suite of products, and invest funds in the CIS FTSE 4 Good Tracker Trust.
As a sign of its commitment to the Child Trust Fund initiative, the account offered by CIS will be promoted through a broad range of distribution channels including CIS financial advisers; Co-operative Bank branches nationwide; 24 hours a day, 7 days a week on the telephone and online.
Martin Clarke, CIS Life and Savings Director, said: "CIS is committed to educating people in the need for savings and to giving young people a basic understanding of financial products.
"In partnership with The Children's Mutual, we hope to tackle these issues at the core by reinforcing the value of savings and the need to make necessary financial provisions for the future.
"The Child Trust Fund initiative will give young people a financial head-start into their adult lives, whatever path they decide to take, safe in the knowledge that their funds placed with CIS are invested in an ethical manner."
David White, The Children's Mutual Chief Executive, said: "We believe that the Child Trust Fund will be a catalyst for the development of a long term savings culture in the UK, and we are delighted that CIS will be one of the organisations helping to lead that development."
Parents and guardians can apply for a CIS Child Trust Fund by contacting 0845 600 1953 for an application pack.