Before You Start
- At least one legal guardian must be involved in opening a kids investment account in Europe.
- You’ll need official documentation for both the child and guardian (see Step 2 for details).
- You must be a resident in the country where you open the account (Germany, France, or Spain).
- Have access to a European bank account in your name (or the child’s name, if required).
- Familiarity with basic investment products (ETFs, index funds) is helpful but not required.
Time needed: 45–90 minutes for setup (excluding account approval times)
What you'll need: Passport/ID cards, proof of address, birth certificate, internet access, basic banking details
Opening a kids investment account in Europe in 2026 is one of the most effective ways to build generational wealth and teach children about money. But the process is tightly regulated—especially in Germany, France, and Spain. This tutorial walks you through the legal requirements, step-by-step setup, best brokers, and actionable tax strategies for EUR-based portfolios. We’ll use real examples and platform-specific instructions, so you can follow along without second-guessing.
Step 1: Understand the Legal Framework in Your Country
What to do: Before you start, confirm the rules for minors’ investment accounts in your country. Here’s a quick breakdown:
- Germany: Custodial (Depotkonto für Kinder) accounts require at least one parent or legal guardian. The child is the legal account owner, but guardians control the account until age 18.
- France: “Compte-titres” or “PEA Jeune” (from age 18) can be opened for minors, but only by a legal guardian. The child gains full control at 18.
- Spain: “Cuenta de valores para menores” can be opened by a parent or guardian. The child becomes the full owner at legal adulthood (usually 18).
Why it matters: Each country has strict KYC (Know Your Customer) and anti-money laundering laws. If you don’t meet the residency or documentation requirements, your application will be rejected.
What can go wrong: If you use the wrong account type (e.g., an adult account in your name), you may face tax penalties or lose access to child-specific tax allowances.
Pro Tip
Check if your country offers tax-free allowances or government incentives for child investment accounts. In Germany, for example, children have their own annual tax-free savings allowance (“Sparer-Pauschbetrag”, €1,000 in 2026).
Step 2: Gather the Required Documentation
What to do: Collect all the documents you’ll need for both the child and the guardian. Typically, brokers will request:
- Child’s passport or national ID card
- Child’s birth certificate (official copy)
- Guardian’s passport or ID card
- Proof of address for the guardian (utility bill, bank statement, dated within last 3 months)
- Tax identification numbers (TIN) for both guardian and child (where applicable)
- Bank account details (IBAN in EUR zone)
Why it matters: Missing or expired documents are the #1 reason for delays and rejections. European brokers are required by law to verify both the minor’s and the guardian’s identities.
What can go wrong: If names or addresses don’t match exactly across documents, your application may be flagged for manual review, delaying approval by days or weeks.
Pro Tip
Scan or photograph your documents in advance. Most brokers accept clear digital copies (PDF or high-res JPEG). Double-check for legibility and completeness before uploading.
Step 3: Choose a Broker That Supports Kids Investment Accounts
What to do: Select a broker that offers custodial accounts for minors in your country. Here are top choices for 2026 (all EUR-denominated):
- Germany: Trade Republic, comdirect, ING Germany
- France: Boursorama, Fortuneo
- Spain: ING Spain, Self Bank
Why it matters: Not all brokers accept minors, and some charge high custody fees or offer limited investment options. Choosing a mainstream, regulated broker ensures better protection and lower costs.
What can go wrong: Some neo-brokers (e.g., DEGIRO, eToro) do not support custodial accounts for minors as of 2026. Always check the broker’s official documentation or support before starting your application.
Pro Tip
Look for brokers that support ETF savings plans for kids. These allow for automated monthly investing, often with zero commission on selected ETFs.
Step 4: Complete the Online Application
What to do: Initiate the account application on your chosen broker’s website or app. Here’s how it works on two popular platforms:
- Trade Republic (Germany): Go to Trade Republic’s registration page. Select “Depotkonto für Kinder”. Follow the prompts to enter the child’s and guardian’s details, upload documents, and verify identity via video call (or in person at a partner bank, if required).
- Boursorama (France): Visit Boursorama, choose “Compte-titres pour mineur”, and fill in the online form. Upload the required documents for both child and guardian. Complete the digital identity verification.
Why it matters: Each broker has a slightly different process, but all require digital verification in 2026. Completing the process online is faster and more secure than postal applications.
What can go wrong: If your webcam or microphone fails during video verification, the process may be interrupted. Ensure you have a stable internet connection and all documents nearby.
Pro Tip
Set aside at least 30 minutes for the digital verification process. If you’re interrupted, most brokers allow you to resume, but you may need to re-upload documents.
Step 5: Fund the Account and Set Up an Investment Plan
What to do: Once the account is approved (usually within 1–5 business days), transfer funds from your EUR bank account to the new kids investment account. Then set up an investment plan:
- On Trade Republic: Tap Portfolio → Savings Plan → Select ETF. Choose a EUR-denominated ETF (e.g., iShares Core MSCI World UCITS ETF EUR (Acc), ISIN: IE00B4L5Y983). Enter the monthly contribution (e.g., €50/month). Confirm and activate the plan.
- Boursorama: Go to “Mes Investissements → Plans d’investissement programmés”. Select the desired ETF (e.g., Amundi MSCI Emerging Markets UCITS ETF EUR (Acc), ISIN: LU1681045370). Set the amount and schedule. Save and activate.
Why it matters: Automated savings plans enforce discipline and reduce emotional investing mistakes. Over 18 years, a €50/month plan at 6% annual return could grow to over €17,500—demonstrating the power of compounding for your child.
What can go wrong: If you select USD-based ETFs, you may face unnecessary currency conversion fees. Always choose EUR-denominated ETFs for a European portfolio.
Pro Tip
Use accumulating (Acc) ETFs to avoid annual dividend paperwork. Accumulating ETFs reinvest dividends automatically, simplifying tax reporting for minors.
Step 6: Understand Taxation and Reporting Requirements
What to do: Learn the tax rules for minors’ investment income in your country:
- Germany: Children get a €1,000/year capital gains allowance (“Sparer-Pauschbetrag”). Above this, income is taxed at the child’s rate. Parents must report income on the child’s annual tax return (“Kindersteuererklärung”).
- France: Investment income is taxed at the child’s rate, but parents must declare it on their own return until the child is 18. The “Livret A” is tax-free but has low returns; ETFs and index funds are subject to flat tax (“PFU”, 30%).
- Spain: The first €1,800 of investment income is tax-free for minors. Above this, progressive tax rates apply. Parents must declare on their return until the child turns 18.
Why it matters: Failing to report a child’s investment income can trigger audits or penalties. Tax laws change frequently—always check the latest local rules.
What can go wrong: If you gift large sums to your child’s account, you may trigger gift taxes (“Schenkungssteuer” in Germany). Spread contributions over several years to stay below annual limits.
Pro Tip
Many brokers provide annual tax statements (“Jahressteuerbescheinigung” in Germany, “Imprimé fiscal unique” in France). Download these each January to simplify your tax filing.
Common Mistakes When Opening a Kids Investment Account
- Using your own name for the account: This can lead to legal and tax complications. Always open the account in the child’s name with guardian control.
- Picking the wrong ETF currency: EUR-denominated ETFs are best for European investors—avoid unnecessary USD/GBP conversions.
- Missing documentation: Double-check all names, dates, and addresses match across documents before uploading.
- Ignoring tax reporting: Even small amounts of investment income must be reported, or you risk fines.
- Overlooking fees: Some brokers charge high custody or inactivity fees for kids accounts. Choose zero-fee plans where possible.
Next Steps
Now that you’ve set up a kids investment account, consider the broader financial picture. For guidance on building a family budget, see Create Your First Budget That Actually Works. If you want to optimize your portfolio for long-term education savings, read our in-depth guide on ETF Savings Plans for Kids’ Education in Europe. And for practical ways to increase your monthly contributions, don’t miss How to Save Money on Everyday Expenses: 2026 European Edition.
Disclaimer: This article is for educational purposes only and does not constitute financial advice. Always do your own research and consider consulting a qualified financial advisor before making investment decisions.