Parents that want to start saving money for their children should have a look at a new document published by the Association of Investment Trust Companies (AITC).

The free factsheet is called Investing for Children and hopes to help mums and dads become more savings savvy when opening a savings account or investing money for their kids.

The document explains the tax implications when parents are saving money for their offspring, as well as how inheritance tax works.

The AITC's PR manager Jemma Jackson noted that parents start saving money early in order to pay for their children's education, first car or a deposit on their first home.

With the long time horizon involved when it comes to saving for children, investment trusts can be a useful way to tap into the potential of the stock market , she said.

Ms Jackson added that by investing money in a range of investment trusts, the investment risk is spread out and minimised.

From £50 per month or a £250 lump sum they can suit a variety of budgets, and a number of children’s savings schemes have lower minimum entry levels, she explained.

Ms Jackson also urged parents to take their time in selecting the best option from the variety of available investment trusts.