Bare Trust

The flexible way to invest for kids

Create a trust for your child or grandchild from the comfort of your home for just £99.

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Download Google Play

When you invest, your money is at risk.

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Written by expert trust and estate planning lawyers, at a fraction of the cost.

What’s a Bare Trust?

A Bare Trust is one of the most flexible ways to invest for children whilst keeping the money in their name.

Benefits

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Can be created through our app in under 10 minutes
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Trust can be created by anyone - not just parents
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Access the money before the kid turns 18 provided it’s for their benefit (school fees, music lessons etc.)
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Unlike a Junior ISA, the money doesn’t automatically get transferred to the child when they reach 18 (but you will have to tell them the fund exists)
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Use the child’s capital gains tax allowance (£12,300 for 22/23 tax year)
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No maximum contribution limits - it could be a great way to continue investing tax efficiently if you’ve maxed out their JISA
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Any money you put in will become exempt from Inheritance Tax if you survive seven years after the money was gifted.
Create a trust

Don’t forget that what you’re taxed depends on the current rules and your own personal situation, that can change in the future.

Create a Bare Trust in 4 easy steps

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Answer a few simple questions

Download our app, create an account and tell us about yourself, the child you’re investing for and why you’re investing for them. This will give us all the information we need to create the trust.

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Select your investments

Select your investments and themes. This is what the money that you put inside the trust will be used to buy. You can read more about the investments you can select here.

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Sign the agreement

A Bare Trust is a legally binding agreement so before it’s created you’ll need to read over and agree to the term. You’ll then be able to download the trust agreement for your records.

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Fund your trust

Make your first payment and set up a regular payment plan - if you want. Any money in there will fall under the specific provisions of the trust. Don’t worry - we’ll send you a guide to walk you through everything you need to know.

£99
incl. VAT

      Includes;

  • A legally binding Bare Trust agreement created just for you
  • Access to the account for the parent of the child
  • Tailored assistance when registering the trust with HMRC
  • No restrictions - invest as much or as little as you like
Create a trust
When you invest, your money is at risk

5 things to know

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Anyone can open a Bare Trust

Parents, Godparents, Grandparents - whoever. Anybody who’s interested in investing for your child’s future can open a Bare Trust providing your child is under 18 years old.

The investments inside the Bare Trust are held by the person who opened the account (i.e. the trustee) for the future benefit of the child (i.e. the beneficiary).
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There’s no maximum allowance

There are no limits on how much you can put into a Bare Trust each year.

Which means you can get started by topping it up with as little as £10 or as much as you like. Nice.
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You can withdraw the money before 18

Yes, that’s right, the money can be withdrawn before your child turns 18.

But you can’t use the money for you. The terms of the Trust mean the money can only be used for things that benefit the child (e.g. school fees, music lessons, sports camps etc.).
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You also decide when they get the money after 18

Unlike a JISA, a Bare Trust gives you flexibility on the transfer of your pot of money.

On top of this, the money doesn’t automatically get transferred to the child when they reach 18 (but you will have to tell them about the fund.

However, they can ask you for the funds at any point after their 18th birthday and don’t have to wait for the date you’d planned to give it to them. So make sure you let them know early on how you’re hoping they use the money.
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It’s not tax-free but it’s tax efficient

While a Bare Trust isn’t tax free, it does use your child’s tax allowances. That means you can make £12,300 capital gains (profit when you sell the investments) every year without paying any capital gains tax. Cha-ching!
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Don’t forget, when you invest your money is at risk. What you’re taxed depends on the current rules and your own personal situation, that can change in the future.

Questions? Let's chat

We’re available 9am to 6pm, Monday to Friday except for bank holidays.

Peace of mind with Nosso

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We’re transparent

As well as the £99 set up cost for the Bare Trust, we also charge an ongoing flat “platform fee” of 0.50%. There’s then an additional 0.20%-0.25% depending on what investments you pick (paid to BlackRock). That’s an ongoing annual fee of around £7.50 if you invest £1,000 with us.

Learn more about our pricing
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We’re protected

Up to £85,000 of your money may also be covered by the UK Financial Services Compensation Scheme (FSCS) should WealthKernel (our Principal Firm) become insolvent.

Learn about our investments with Blackrock
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We’re parents

We like to keep things in the family. We’re an app built by parents for parents. So, we understand your niggles and your ambitions when it comes to your little ones. And we understand just how priceless peace of mind is. Happy days.

Meet the team
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Frequently asked questions

What is a Bare Trust?
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I’m an existing customer, how can I open a Bare Trust?
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What is the cost of opening a Bare Trust?
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How is a Bare Trust different to a JISA?
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Who can open a Bare Trust?
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Can I create a Bare Trust for more than one Child?
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Do I need to pay tax on my Bare Trust account?
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What are the benefits of a Bare Trust?
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Can I withdraw money at any time?
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Can I change the named child on the Bare Trust?
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Is the money I pay into the Bare Trust subject to Inheritance tax?
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What happens to the Bare Trust when the child turns 18?
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What are my obligations as a trustee?
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What happens if I change my mind? Can I close a Bare Trust?
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