baby bond

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1 In the USA, bonds having a denomination lower than $1000.

2 Bonds offered by tax-exempt friendly societies, which produce maturing funds for an infant over a period (minimum 10 years). Under current UK rules, up to £25 a month (or £270 a year) may be invested tax free in a baby bond.

3 An informal name for Child Trust Funds.

Subjects: Financial Institutions and Services.

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