When a child turns 18, they are legally classified as an adult and may be eligible to open their own Vanguard Personal Investor Account and have full responsibility for their own investments. Any time after the child turns 18, you (i.e. the parent or guardian) can initiate the transfer of the investments by filling out a transfer of investments form. Once the transfer is completed successfully, the Vanguard Personal Investor Kids Account will be closed automatically.
A tax event may arise if investments are transferred from your Vanguard Personal Investor Kids Account and there is a change in beneficial owner. This will be dependent on your own individual circumstances, and we recommend you seek professional advice on the tax implications.