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A brokerage statement isn't as cute as a pair of baby booties, but the bragging rights are better.

Invested wisely, those $50 birthday checks can turn into a pile of money over the years. If you begin investing $100 on each of the child's first 18 birthdays, by the time Junior is 18, the money will have doubled. He'll have more than $4,500, assuming the money earns the market's historical rate of return of roughly 10%.

We asked savvy parents how they picked baby's first investments, and here's what they said:

Look at the products you use for baby. Take a look at the company behind the formula you feed your bundle of joy and the care products you use. Many of those companies -- like Nestle, Bristol-Myers Squibb (NYSE: BMY  ) , or Pampers maker Procter & Gamble (NYSE: PG  ) -- are publicly traded. 

Pick companies you've heard of and whose products kids use, like Coca-Cola (NYSE: KO  ) or Disney (NYSE: DIS  ) -- even if you can afford only a share or two of each.

Ask your kids for ideas. When they're old enough they'll certainly have some investing ideas. Got any Barbies or American Girl dolls lying around the living room? Their maker, Mattel (NYSE: MAT  ) , certainly has a logo the little ones can recognize.

Get Junior started on the right financial foot, and when he buys his first ride -- with cash, because you taught him well -- suggest the vanity license plate "THXMOM."

For more Foolishness:

Disney is a Motley Fool Stock Advisor recommendation. Disney and Coca-Cola are Motley Fool Inside Value picks. The Fool owns shares of Procter & Gamble, which is a recommendation of Motley Fool Income Investor. Try any of our Foolish newsletters today, free for 30 days.

Dayana Yochim owns none of the companies mentioned in this article. The Fool's disclosure policy is written in permanent crayon.

Read/Post Comments (1) | Recommend This Article (6)

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Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On May 21, 2009, at 2:29 PM, dudemonkey wrote:

    Is anyone seriously expecting 10% average annual return in the future? Maybe if you're buying now you'll get that, but long-term?

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10/26/2016 4:00 PM
BMY $49.29 Down -0.26 -0.52%
Bristol-Myers Squi… CAPS Rating: ****
DIS $93.49 Up +0.74 +0.80%
Walt Disney CAPS Rating: *****
KO $42.44 Down -0.10 -0.24%
Coca-Cola CAPS Rating: ****
MAT $31.98 Down -0.62 -1.90%
Mattel CAPS Rating: ****
PG $87.40 Up +0.43 +0.49%
Procter and Gamble CAPS Rating: ****