Web, Kit Help Launch Kid Investing

There’s certainly a lot of talk this year about using the Internet for one’s holiday shopping.

And while it may be a somewhat limited audience, certain Web sites do offer a lot of value.

One of those is the Mutual Fund Investor’s Center, which is managed by the Mutual Fund Education Alliance.

Michelle Smith, managing director of the MFEA in Kansas City, says the Web site hopes to get the attention of parents and grandparents who want to learn about investing for children.

Through the end of the year, the site will focus its attention on giving investments as gifts and saving for a child’s college education.

“We hear from investors at different times of the year on two common themes: How can we give an investment as a gift, and what mutual funds are good for children?” Smith says.

She acknowledges that the action is timed to coincide with the holiday gift-giving season but also notes that it’s a good time for parents to take stock of investments for their children or to map out a New Year’s strategy to ensure that they reach their college investment goals.

“We recommend that investors annually review their portfolios. It’s a good time to sit back and go over what has changed in your life that can affect your ability to achieve investment results,” Smith says.

Once you go into the Web site www.mfea.com - you’ll soon find there’s a lot of information for both novice and seasoned investors.

The educational component at the site allows investors to print and download information. Investors can access interactive calculators and worksheets designed to help them determine how much they’ll need to reach their investment goals and how they can map out a strategy to achieve them.

Investors, she says, also can go into the Web site and hear a commentary from those in the industry, including portfolio managers and others who give their thoughts on investing for children.

The Web site serves as a clearinghouse for mutual fund information and is the gateway to 40 different sites of no-load and low-load mutual funds, ranging from the giants of the industry, such as Fidelity, T. Rowe Price and Vanguard, to an array of smaller funds that have produced solid returns.

Investors can learn about the four major mutual funds - Stein Roe, American Century, Royce and USAA - that are specially designed for young investors, and they can also can get a list of funds that the companies recommend.

There’s a news center where investors can learn about special investment programs or new funds that have been recently introduced.

In addition, there’s an extensive bookstore where investors can order from a large selection of free educational material online.

For those who don’t have access to the Internet, the MFEA also offers The Mutual Fund Investor’s Kit, a 60-page educational book that includes a complete section on investing for children and college.

The kit includes worksheets and sample portfolios and strategies for mapping out an investment plan for children.

The kit is available by mail order only. To order, send a check for $10 to The Mutual Fund Education Alliance, Dept. 0148, P.O. Box 419263, Kansas City, Mo. 64193-0148.