Christmas presents with a financial twist
As Christmas fast approaches, we bring you an eclectic collection of presents with a financial twist. Some are geared towards those relatives who are notoriously hard to buy for. Others will hit the spot if you’d like to help younger members of the family towards a financially secure future.
1. An insider tour of the City
Experiences can make the best gifts, especially for members of the family who have all the material possessions they could need. Several companies offer finance themed walking tours of the City of London. They are not only a chance to marvel at the architecture and discover hidden gems, but also to learn about the colourful history of the financial markets and how they work today. One highly rated option is the Financial London Walk with London Guided Walks, which costs £20 per adult, or £225 for your own private tour.
If your budget allows, you could throw in lunch or dinner at one of the local hotspots. 1 Lombard Street is in a converted banking hall and something of an institution. Duck and Waffle is on the 40th floor of Heron Tower and offers incredible views.
2. The Psychology of Money by Morgan Housel
This best-selling book is loved because it is both easy to read and insightful, with many readers saying it’s changed the way they think about spending and saving money. Housel, a prominent financial writer and investor, explores the psychology of money through 19 short stories, and offers thought provoking ideas as well as practical tips.
3. Sterling silver lucky sixpence cufflinks
We couldn’t resist including a wonderful pair of lucky sixpence cufflinks, £133, from Hersey & Son Silversmiths, which can be engraved, or their lucky penny cufflinks at £95.
4. Gold coins or bars
The Royal Mint offers a wide selection of gold coins and bars. As well as modern day commemorative coins, there are historic coins dating back to the 18th century and earlier. Gold and silver bars range from a 500g silver bullion bar, from £478, to a 1kg gold bullion bar, from £69,074. The price of gold fluctuates with time, and tends to be more highly valued when financial markets are struggling. If you choose to buy precious metals as a gift, it’s essential to go to a reputable dealer.
5. The gift of money
If you have the means, this can be a sensible gift from a tax planning point of view. It’s possible to give away up to £3,000 per year free of tax (£6,000 if you didn’t use the previous year’s allowance) – or more if you have surplus income that you do not need. If you wish to make a long-term investment for a child or grandchild, a Junior ISA is a good vehicle. Only a parent or guardian can open one for a child but anyone can contribute, up to a limit of £9,000 per year per child. Making pension contributions for a child is another tax efficient option, and it’s a gift that might make an enormous difference to their future. AJB Wealth helps clients manage their affairs in a tax efficient way.
6. Premium bonds
Premium bonds are a great alternative to money or vouchers for children or young teenagers. Though it’s not generally possible to buy them for other adults, you can purchase them for children under 16, giving them the chance of winning from £25 to £1 million in a monthly prize draw. Unlike lottery tickets or scratch cards, you keep your premium bonds, and can sell them if you wish. The average prize rate is 4.4%, and the odds of each £1 Premium Bond number winning a prize is 22,000 to 1.
7. Grandpa’s Fortune Fables by Will Rainey
This fun book is suitable for children from seven-years-old and teaches them about how money works in an engaging way. Many parents wish they’d read this book as a child.
8. Fun money boxes
For young savers who need a little encouragement, there are all sorts of fun money boxes. One of the most striking is the Star Wars R2-D2 money box, which beeps and whistles when you deposit coins. Children will also love a password safe, which looks like a mini safe, and which they can protect with a password. Older children might prefer a simpler digital coin bank which counts coins and has an LCD display.
9. Board games with financial lessons
Game of Life is the family-friendly classic that allows children to pick their own path through life, with all its exiting twists and turns. The player with the most money in retirement is the winner! Others might prefer the investment focused game Cashflow, which like Monopoly, will bring out the competitive side in everyone.
10. Gold bars of chocolate
For stocking fillers and small gifts, a chunky 300g Lindt Christmas Milk Chocolate Gold Bar will go down a treat.
AJB Wealth is a wealth management firm based in Alresford, near Winchester, in Hampshire. For an obligation-free consultation, please book a meeting. Or call us on 01428 774 070.
Important: The content of this bulletin is for general consideration only and does not constitute advice. No action must be taken, or refrained from being taken, without first seeking appropriate advice. This company accepts no responsibility for any loss occasioned as a result of any such action, or inaction. It’s important to remember that investments can fall, as well as rise. In the event of early encashment, you may receive less back than your original investment.
