Hi, I'm looking at starting up a fund for our baby, starting small with just an initial deposit of $3000 and most likely monthly instalments of $100-200/month. I've been a bit time poor lately to see the best option in terms of return and tax effectiveness, but from what I've seen so far; Trust - running costs too high for too little money invested. Education savings plan - no idea where or how to set this up? Insurance bond - Seems quite tax effective as a long term plan. (taxed within the fund at 30%). We can put it in her name and she can take ownership, add her own little savings and see it grow. learn the magic of compounding The running costs and overall returns may not be as high as an index fund? An index fund in my partners name - This may be more tax effective as her marginal tax rate may be low for a long time.. I suppose this could be converted into an insurance bond once my partner returns to full time work.. What have others done?