2 ASX shares you can buy for your kids this Christmas

Here's why I think Coles Group Ltd (ASX: COL) shares would make a great Christmas present for the kids this year!

| More on:
a woman

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

"Give a man a fish and you feed him for a day, teach a man to fish and you feed him for a lifetime."

Although this quote's origin is not known for certain, it remains one of my favourite allegories.

It's also a phrase very relevant to the world of investing. I think one of the greatest gifts we can give our children is a sound financial education. The benefits of starting to save and invest at a young age are massive compared to giving it a go 10 years' out from retirement.

And what better way to encourage a young one in the ways of money than gifting them a piece of a company?

If you agree, here are 2 ASX shares that I think would be perfect for a Christmas present this year.

Vanguard Australian Shares Index ETF (ASX: VAS)

Our first share isn't really a share at all – it's more of a Christmas hamper. Exchange traded funds (ETFs) work by holding a whole bunch of shares in a fund and trading shares of that fund on the ASX. VAS is what's known as an index fund, meaning it follows the largest 300 companies on the Aussie stock market in a dispassionate, size-weighted manner.

Thus, I think it would make the perfect 'no-stress' gift for kids – as they would literally own a piece of all of the biggest companies on the market today. That's everything from Commonwealth Bank of Australia (ASX: CBA) and Telstra Corporation Ltd (ASX: TLS) to Afterpay Touch Group Ltd (ASX: APT).

 As a parent, you don't have to worry about which companies to buy – and your kids will love owning the 'entire market', I'm sure. Since you've got all the biggest companies automatically included in one share, VAS is also the kind of thing you can buy and never sell – my favourite kind of investment.

Coles Group Ltd (ASX: COL)

If you'd rather go down the individual shares route, I think Coles is a great alternative. Everyone knows Coles, its brands and how it makes money, which I think is one of the easier business models for a child to wrap their head around.

Additionally, you can easily take your kids on the next shopping trip and show them the stores that they have a partial ownership of – something I think any kid would respond well to (they may even want to help out with the shopping!)

I think its fairly safe to say groceries aren't going to go out of fashion anytime soon either, making this a pretty safe investment (in my opinion). For all these reasons, I think Coles would be a great choice for your kids' Christmas stocking too!

Foolish takeaway

If you're considering buying some shares for your kids – as either a learning tool or an investment – I think these 2 ASX choices would be a great place to start looking. Christmas can be about learning as well as all the latest toys, after all!

Sebastian Bowen owns shares of Telstra Limited. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of AFTERPAY T FPO. The Motley Fool Australia owns shares of and has recommended Telstra Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on ⏸️ Shares for Beginners

toddler in business attire surrounding by floating money representing asx shares beginner investor
⏸️ Shares for Beginners

2 top notch ASX shares for beginners

Woolworths Group Ltd (ASX: WOW) is one of the 2 ASX shares that I think would be perfect for a…

Read more »

toddler in business attire representing asx shares beginner investor
⏸️ Shares for Beginners

2 ASX shares perfect for beginners in 2020

Argo Investments Ltd (ASX: ARG) is 1 of the 2 ASX shares that I think is perfect for a beginner…

Read more »

⏸️ Shares for Beginners

3 tips for investing in ASX 200 shares for beginners

Investing in ASX 200 shares can be exciting. Here are a few tips I wish I had known before I…

Read more »

⏸️ Shares for Beginners

How mum and dad investors are beating fund managers at their own game

Retails investors can give themselves a pat on their back as they are besting most fund managers in the COVID-19…

Read more »

⏸️ Shares for Beginners

Ready to invest your first $1,000? Try these 2 ASX shares

Here's why I think Magellan High Conviction Trust (ASX: MHH) and 1 other ASX share are perfect choices for a…

Read more »

⏸️ Shares for Beginners

Here's how I would put $10,000 to work on the ASX

You work hard for your money, so why not make your money work hard for you? Here's how to put…

Read more »

⏸️ Shares for Beginners

2 ASX shares for a first-time investor

Here's why I would choose Magellan Global Trust (ASX: MGG) as one of my ASX shares for a first-time investor

Read more »

⏸️ Shares for Beginners

3 ASX shares to buy as a beginner

It can be hard to know where to invest in ASX shares as a beginner, so here are a few…

Read more »