Equity savings account for a child

Invest easily in stocks for your child on OP-mobile without any direct tax effects.
New price benefit

Equity Savings account now free of charge for under 26-year-olds

Under 26-year-olds now invest through an Equity Savings Account and an book-entry account without monthly charges. You will get the saver’s service package free of charge (norm. €2.99 per month).

With this new price benefit, we want to motivate young people in saving and investing.

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Stock transactions and dividends in the Equity Savings Account without direct tax effects. You only pay tax on gains when withdrawing money from the account.

 

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Open an Equity Savings Account for a child free of charge and you'll invest without monthly charges. The Equity Savings Account is free for all under 26-year-olds.

 

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Invest in stocks for your child at reasonable cost. Stock purchases from 0.08% (min. €3). You will trade free of charge for the first 30 days.

 

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You can deposit a maximum of 100 000 euros into the child’s equity savings account, on a lump-sum basis or in instalments.

 

Open an equity savings account for your child on OP-mobile

Why open an equity savings account for a child?

The equity savings account is a splendid saving option for a child because it best suits for saving on a long-term basis. The investment horizon should be over 5 years, for example. Capital gains and dividends are paid into the Equity Savings Account and can be re-invested without taxation. This is how you can make effective use the benefits of the equity savings account and the compound interest effect. 

How do I open an equity savings account for my child? How to get started

Before opening an equity savings account, a minor needs a personal current account and the minor must be an OP customer. Moreover, at least one parent must be an OP customer. The guardians must also ensure that their child holds no equity savings account with another bank. If the child has several equity savings accounts, the Finnish Tax Administration will impose a tax increase. 

Open a current account for a child

Trading with the child’s equity savings account is possible with the guardians’ OP User ID on OP-mobile. The child can personally trade at the age of 18 or, with the guardians’ consent, after reaching the age of 15.

Taxation of an equity savings account

Through the Equity Savings Account, you can trade in stocks without any direct tax effects. Tax will not be levied on dividends coming to the equity savings account. Profit and dividends are taxable only when money is withdrawn from the account or you close your equity savings account. The tax rate is 30% or 34% depending on capital income. 

You can anytime sell the stocks and withdraw the money from the account. Any profits will be withheld automatically. The equity savings account enables you to postpone tax implications to a future time and you can get the most out of the compound interest effect. 

What stocks to buy for a child’s equity savings account?

It is advisable that the investment portfolio includes stocks of around 5–10 companies. You can well start with one company and gradually diversify the investment portfolio to include several companies. Diversification enables you to level out investment risk and avoid major value fluctuations.

The most popular company stocks in 2023 for saving on behalf of a child are:

  1. Nordea Bank Abp 
  2. UPM-Kymmene Corporation 
  3. Sampo plc
  4. Fortum Corporation
  5. Nokia Corporation
  6. Neste Corporation
  7. Nokian Tyres plc
  8. KONE Corporation 
  9. Metsä Board Corporation 
  10. Kesko Corporation

How can a child personally invest through the equity savings account?

A minor can invest conveniently with the guardians’ consent. The parents may authorise their child who has turned 15 to manage the child’s own investments. When an equity savings account has been opened for the child, the minor can independently trade in stocks on OP-mobile through the equity savings account.

Give authorisation for a youngster’s saving and investing here

What happens to the equity savings account when the child turns 18?

After the child has turned 18, the management of the equity savings account is transferred from the parents to the child themselves. It is advisable to have discussion with the child on savings and investments and their management. We are also pleased to help adolescents to manage their savings on a long-term basis and in a responsible manner. A person aged 18 or over may also book an appointment free-of-charge investment advice.

 

Equity savings account

Read more closely about the benefits of the equity savings account.
Equity savings account price list
Learn about the equity savings account price list.
Saving on behalf of a child
Secure your child’s future by saving.

The equity savings account product is provided by OP Financial Group. When investing, it’s wise to remember the related risks. An investment’s value can either rise or fall, and there are no guarantees of recovering all your invested capital. OP doesn’t guarantee a return on your investment, and past performance is no guarantee of future performance. Taxation is based on each customer’s circumstances and can change.