Will stock market go up or down? Junior ISA

[absolutelyflawed]

Hi - DC currently have stocks / shares CTFa - finishing in 5 years’ time.
Wondering now whether to move to a Jisa - cash?

Any thoughts which way stock market will go in next few years?
Are cash Jisas better than CtFs ?
Thanks

In the long term, stock investments always increase. Unfortunately there is no way of anyone knowing whether they will increase or decrease in the short term.

If I knew that, I’d be on my yacht

As long as governments keep printing money I think the markets will continue to rise. The money has to end up somewhere and the stock market is as good a place as any. The US have printed $4 trillion. Go ant take a look at the Dow Jones and Nasdaq 5 year charts. Both higher than pre covid, but are businesses doing better?

This isnt intended as investment advice and only my own opinion.

It will go up, or maybe down, or it may stay the same.

One of those is correct

If the thought of it going down is a big worry to you, move it to cash. That will definitely not go down, but won’t really go up either.

No one can predict what will happen with the stock market in 5 years with any accuracy.

The returns on cash are tiny at the moment.

I'd keep it in the Stockmarket if you won't be needing the money in the next few years.

Will they need to access the money at 18?
If so you can do what they do with pensions and start gradually moving the money over so move some every month / quarter for the next 4 years.

If not, keep it in shares and tell them it is long term savings not to be frittered.

I've been investigating since 2004. Lost loads in the 2007/8 crash but now back up way above what I would have got in a bank. Look at it long term.

NASDAQ down today about 13% apparently.

@absolutelyflawed

Hi - DC currently have stocks / shares CTFa - finishing in 5 years’ time. Wondering now whether to move to a Jisa - cash?

Any thoughts which way stock market will go in next few years?
Are cash Jisas better than CtFs ?
Thanks

Both

If I knew that, I’d be on my yacht

😂😂

Over 5 years, the stockmarket is likely to go both up and down along the way. But over 5 years it will on average go up more than if you kept it in cash. 5 years is usually the minimum time frame for investing, because it gives time for ups and downs to average out.

Because we are in a market correction (or near enough) it is a good time to buy shares, as they are effectively on sale. Much better than having bought in November.

But then I just read your op again and saw you are already invested. Don't cash out now when everything dropped!!!! Leave it in until 18. Then move it to a Lifetime ISA slowly to get 25% more free money for their house deposit. Stay invested.