Require 100 pounds/month from an investment

Partly depends on what sort of risks you are prepared to take. There are various ones paying around 10% at the moment and although they are not

Rob Graham

It also depends on how much capital she has (or how much you have, if by "we are prepared to set up an investment" you mean you'll put up the capital).

It *might* be that the best option is not to set up any investment at all, and just have her spend £100 of her capital each month / have you transfer sums to her.

The amount of risk you/she is prepared to take is important, but you also might have to consider her tax position (both during her lifetime and on death), your tax position and the rules in your country (if you will be putting up the money), exchange rate risks, charges, etc.

Between 50K and 60K in Premium Bonds should result in that income.

Not exactly regular income though.

With that sort of capital, might as well just spend it: £60K provides £100/month for 50 years. Of course there'll be nothing left at the end, but that might only be of concern to the daughter.