Junior Brokerage Account

A junior depot is a securities account that parents or other legal guardians open for a minor child. The account legally belongs to the child, and the guardians manage it on the child's behalf until they come of age.

Because the account is held in the child's name, the earnings it generates (interest, dividends and capital gains) are attributed to the child for tax purposes, so the child's own tax situation applies.

A junior depot is usually used to save for a child over the long term, for instance towards education or training. Whether it suits a given family depends on the individual circumstances.