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Established in order to allow gifts to children from parents, grandparents and other guardians, the Uniform Gifts to Minors Act (UMGA) was the first act to allow investing in stocks, bonds and mutual funds. When originally established, the act provided for irrevocable gifts to children in order to allow easy transfer of assets that would be provided to the child when they reached the majority age in their state. This ranged from age 18 to age 21, depending on the state.

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