£25k to invest for spendy late teens, any ideas?

[BloodyAdultDC]

My kids have an inheritance of £25k each, deceased family member intended both to inherit for future housing needs but didn't write a will, gift is entirely in my hands. Both late teens. Dd I trust to not spend, ds would definitely fritter it away in months.

What's good for 17yo and 20yo that they can get good returns, poss 5 years, restriced/low access these days? Maybe in joint names/2 signatures? Currently in premium bonds in my name, no big wins so far!

Considering an IFA but reasonably savvy regarding own finances, never had this much before!

I would probably invest in a worldwide index fund using a platform such as Hargreaves lansdown. Could do it with a stocks and shares ISA. Although they would be able to sell them as a when they wish, it’s a bit of a faff which might put them off a bit.
not sure about the 5 year fixed rate ISAs etc but those might be an option if you’re sure about locking the money away for longer.

As it was originally intended for housing needs by the benefactor, perhaps suggest they each open a LISA (at age 18 for the youngest), and you contribute the £4000 per year maximum for them? Work out how many years you want to top it up (perhaps to half of the inheritance for each DC?).

Put the rest in savings or index funds in your own name until they reach age 25/30.

Agreed- index fund (eg a global tracker) with a cheap broker , invest and leave. Either keep in your name or set them up ISAs- until April 24, 16 and 17 year olds can have both junior s&s isas of 9k and adult cash ISAs of 20k.