Moneyfarm’s simple, low-cost fee structure means you know exactly what you’re paying and you keep more of your money.

Here’s how it works for actively managed portfolios:

Under £100,000:

• 0.75% on investments up to £10,000
• 0.70% on investments between £10,000 and £20,000
• 0.65% on investments between £20,000 and £50,000
• 0.60% on investments between £50,000 and £100,000

Over £100,000:

• 0.45% on investments between £100,000 and £250,000
• 0.40% on investments between £250,000 and £500,000
• 0.35% on investments over £500,000

Here’s how it works for fixed allocation portfolios:

• 0.45% on all investments up to £100,000
• 0.35% on investments between £100,000 and £250,000
• 0.30% on investments between £250,000 and £500,000
• 0.25% on investments over £500,000

For example: if you invest £50,000 with us in an actively managed portfolio, you would pay fees of 0.60% on the whole £50,000.

If you invested £120,000 in a fixed allocation portfolio, you would pay 0.35% on the whole £120,000

If you have multiple portfolios we’ll work out your fees across your entire account rather than individual portfolios, unless you have both actively managed and fixed allocation portfolios, those fees will be calculated separately. This means you can benefit from lower fees as you increase the total value of your Moneyfarm account. 

Each month you’ll pay a fee based on the total daily market value for each day invested. Your fees will be illustrated in the monthly account statement you receive in the ‘Documents’ section of your account.

The ‘market spread’ effect also affects your investments. This is the difference between ‘bid’ and ‘ask’ (buying and selling) prices for an investment at a specific time. This can be up to 0.09% (assuming we sell 40% of the assets in your portfolio and replace them with new assets during the year), but you’ll always see the real price you buy and sell assets at.

ETFs are a popular low-cost alternative to mutual funds, although they do have a small cost attached to them. On average, you’ll be charged 0.2% per annum for this underlying fund cost at Moneyfarm. This cost is charged by the fund managers and is built into the price of the ETF on any given day. You will not, therefore, see fund charges being deducted from your portfolio directly. This fee can be as much as 1% with mutual funds, sometimes more. Please note, that there will always be a fund fee with ETFs, regardless of who you invest with. You’ll also be charged a management fee by Moneyfarm, which is separate to the fund fee. If you invest £20,000 with Moneyfarm, you’ll be charged 0.65% in management fees. In this instance, you’ll pay a total annual management fee of £130 to Moneyfarm directly. The market spread effect also impacts your investments. This is a characteristic of trading on the financial markets and represents the difference between the bid and ask (buying and selling) prices for an investment at a specific time. This can be 0.10% at Moneyfarm (assuming the average between our Classic and ESG allocations, we sell 40% of the assets in your portfolio and replace them with new assets during the year), but you’ll always see the real price you buy and sell assets at.

Moneyfarm’s simple charging structure means you pay two ongoing charges on your investments, our management fee and the fund charge.

Management fees are charged based on the value of your account, rather than per portfolio, so by consolidating your investments you can benefit from a potentially lower management fee. The management fee covers all charges related to managing your investments and is the largest part of the total costs of investing. In the traditional wealth management industry, it can often be difficult knowing exactly how much you pay for your investments. At Moneyfarm we believe it’s crucial this is transparent for our investors.

Fund costs are not included in the annual management fee and won’t appear as a charge, instead these are factored into the performance of your investment. The average fund charge is 0.2% per annum at Moneyfarm. The market spread effect also impacts your investments. This is a characteristic of trading on the financial markets and represents the difference between bid and ask (buying and selling) prices for an investment at a specific time. This can be 0.10% at Moneyfarm (assuming the average between our Classic and ESG allocations, we sell 40% of the assets in your portfolio and replace them with new assets during the year), but you’ll always see the real price you buy and sell assets at. You can find out how much you would pay on our pricing page.

At Moneyfarm, you don’t need to do a thing. We charge you the fees automatically and take them from the cash held in your account. You’ll always have a small percentage of cash held within your portfolio – around 2-3%. This liquidity is an important aspect of your portfolio that our experts ensure is optimally weighted. We will take the fees from this reserve to ensure it’s hassle-free for you.