InvestEngine Review – Which Investment Platform is Right for You?
In this InvestEngine review, we’ll look at the finer details of the investment platform that offers both low-cost managed portfolios and DIY options for investors of all stripes.
- InvestEngine is a hybrid investment platform with transparent fees, offering DIY and managed ETF portfolios
- It has three account types with no platform or transaction fees (apart from their managed portfolio), plus welcome bonuses and referral programmes
- InvestEngine offers 24/7 management & secure environment for investments at competitive prices
InvestEngine Review – Overview
InvestEngine focuses on exchange-traded funds (ETFs), with the goal of being a one-stop-shop for both DIY investors and those looking for managed portfolio options.
With more than 550 ETFs available, you can easily build your own portfolio or choose from a pre-made one.
Many InvestEngine customer reviews emphasise the ease of getting started, with a minimum investment of just £1 after topping up your account with £100.
The platform offers a variety of investment options, from DIY investment options to managed ETF portfolios. Its savings plans let you invest as little as £10 per week in various asset classes, making it one of the cheapest investment platforms on the market.
InvestEngine is also known for its transparent fee structure, with no platform charge for DIY portfolios and a low 0.25% fee for managed portfolios, thus being considered one of the cheapest investment platforms.
InvestEngine Account Types
Three different account types are offered to cater to a diverse range of investors: General Investment Account (GIA), Stocks and Shares ISA, and a unique Business Account for investing surplus funds.
These account types offer various investment options, allowing you to tailor your portfolios for your personal circumstances.
A minimum investment of £100 grants access to InvestEngine’s low-cost features, managed portfolios, and DIY options across all account types.
The platform is a cost-effective choice for purchasing Vanguard ETFs, as there are no platform fees, transaction fees, or account opening fees. However, bear in mind that InvestEngine does not provide the popular Vanguard Lifestrategy funds range, which are unit trusts – the platform is limited to ETFs only.
General Investment Account (GIA)
A General Investment Account (GIA) is a regular investing account which is subject to tax.
Unlike a Stocks and Shares ISA, GIAs do not offer tax-free investing, but there is no limit to how much you can contribute. This flexibility in investing can be beneficial for some investors who have already filled their ISA’s annual investment limit.
However, understanding the tax implications is crucial when opting for a GIA, as profits may be subject to capital gains tax, and dividends subject to income tax.
Stocks and Shares ISA
If you’re seeking a tax-free investment option, InvestEngine’s Stocks and Shares ISA is a great one. Here are some key features of the ISA:
- Allows you to invest in a wide range of ETFs
- No capital gains tax or income tax worries
- Annual investment limit of £20,000
- No charge for DIY ETF portfolios, and just 0.25% for managed portfolios
InvestEngine’s ISA is an excellent choice for investors who want to maximise their tax benefits.
The user-friendly platform and app makes it easy to manage your InvestEngine Stocks and Shares ISA, offering access to a variety of ETFs and tax-free investing up to £20,000 per year. Plus, there are no account fees for InvestEngine’s ISA if you opt for the ‘create your own’ portfolio, making it an affordable option for investors looking to maximise their tax-free growth potential.
Companies looking to invest surplus cash can benefit from InvestEngine’s Business Account too. This unique account type, which can be an alternative to a traditional bank account, offers the following features:
- Same low-cost options, managed portfolios, and DIY options as the Personal Account
- Tailored specifically for businesses
- Allows companies to invest their surplus cash without having to take it out of the business
- Provides a low-cost investment solution for growing their funds
This low-cost solution is ideal for companies seeking to maximise their investment returns while minimising operational costs.
Portfolio Options on InvestEngine
InvestEngine presents two primary portfolio options to suit diverse investor preferences: DIY portfolios and managed portfolios.
With a DIY portfolio, you can access over 550 ETFs without any platform fees, allowing investors to create their own personalised investment strategy at absolutely no cost other than the underlying ETF charges (specific to each ETF).
On the other hand, managed portfolios offer diversified ETF portfolios based on your risk appetite, with a low 0.25% platform charge.
These investment portfolio options offer you the versatility to select an investing style that aligns with your personal needs and preferences.
Whether you’re a hands-on investor who prefers to craft your own investment strategy or someone seeking expert guidance through managed portfolios, InvestEngine has you covered.
If you prefer a hands-on approach, InvestEngine’s DIY portfolios offer:
- Access to more than 550 ETFs with no platform fees
- The ability to create a personalised investment strategy tailored to your preferences and financial goals
- A straightforward user interface that makes it easy to navigate and manage investments
The fee-free structure of DIY portfolios makes InvestEngine an affordable option for investors seeking to minimise costs while maintaining control over their investment decisions.
With access to a vast array of ETFs and no platform fees, DIY portfolios on InvestEngine provide an attractive option for those of you who prefer a hands-on approach.
For those seeking expert guidance, InvestEngine’s managed portfolios provide:
- Diversified ETF portfolios tailored to your risk appetite
- A low 0.25% platform charge
- Both a growth portfolio and an income portfolio, designed to cater to different investment objectives
- The ability to easily check the past performances of every ETF included in InvestEngine portfolios, ensuring transparency and informed decision-making
Managed portfolios on InvestEngine offer the following benefits:
- Professional guidance
- Hands-off approach to investing
- Diversified ETF portfolios
- Low platform charge
Investing in managed portfolios provides an affordable and hassle-free investment experience with a diversified portfolio, while a self-managed portfolio offers more control for you over your investments.
InvestEngine Platform and App Experience
InvestEngine’s platform and app are designed with user-friendliness and functionality in mind, providing easy access to portfolio management tools and performance monitoring. The app has a great rating of 4.7 out of 5 on the App Store, reflecting its positive user experience and wide range of features. The platform dashboard provides the following features:
- 24/7 investment management
- Account top-ups
- Asset purchasing and selling
- Investment projections
Whether you’re a DIY investor or prefer managed portfolios, InvestEngine’s platform and app make it easy to stay in control of your own investments and monitor your financial progress.
Fees and Charges
InvestEngine prides itself on competitive fees, positioning it as a cost-effective choice for those of you looking to invest.
There is no platform charge for DIY portfolios, allowing you to invest without worrying about additional costs eating into your returns.
For managed portfolios, InvestEngine charges a low 0.25% annually in management fees, providing expert guidance affordably.
These competitive fees set InvestEngine apart from other investment platforms, allowing you to maximise your investment returns without breaking the bank.
Safety and Security
While investing your hard-earned money can seem intimidating, InvestEngine ensures the safety and security of your investments.
InvestEngine is authorised and regulated by the Financial Conduct Authority (FCA), providing an added layer of protection for your investments.
Moreover, the platform is covered by the Financial Services Compensation Scheme (FSCS) up to £85,000, offering further security for your funds.
Customer Support and Reviews
InvestEngine prioritises customer satisfaction, demonstrated by their responsive customer support and positive reviews. With a 4.5 out of 5 Trustpilot rating, InvestEngine’s customer support is highly regarded for its helpful and efficient service.
The platform offers email support from Monday to Friday, 5:30 am to 9:00 pm, and Saturday to Sunday, 8:30 am to 5:30 pm, ensuring assistance is available when you need it.
Alternatives to InvestEngine
Though InvestEngine provides a comprehensive solution for investors, exploring alternative investment platforms to find the best fit for your needs is always advisable. Some alternatives to InvestEngine include:
- Interactive Investor
- Hargreaves Lansdown
- AJ Bell
These platforms offer varying fees and investment options, providing you with a diverse range of choices with different preferences and financial goals.
Generally, they offer a wider range of investment options including funds such as unit trusts and OEICs, not just ETFs, but the charges are higher.
Each alternative holds its own pros and cons, so careful consideration of your options before making a decision is crucial. By comparing InvestEngine with other platforms, you can best choose the investment solution that aligns with your financial objectives and risk appetite.
Promotions and Referral Programme
InvestEngine provides appealing promotions and incentives for new investors and for those who refer the platform to others.
InvestEngine is currently offering a welcome bonus of up to £50 for investments of £100 or more.
In addition to the welcome bonus, InvestEngine also offers a referral program, with bonuses of between £10 and £50 for signing up and staying invested for 12 months. Plus, you can even earn an extra £50 for referring up to 25 friends and family.
These promotions make InvestEngine an even more attractive option for investors seeking a comprehensive and affordable investment platform.
- InvestEngine is a comprehensive and affordable investment platform that caters to a wide range of investors, offering both low-cost managed portfolios and DIY options.
- With its competitive fees, excellent customer support, and user-friendly platform and app, InvestEngine is an attractive choice for investors seeking a one-stop-shop for their investment needs.
- Whether you’re a hands-on investor or prefer expert guidance, InvestEngine has the tools and options to help you reach your financial goals.
Frequently Asked Questions
Can I trust InvestEngine?
Yes, InvestEngine is a trusted financial provider. It is authorised and regulated by the Financial Conduct Authority, and investments are covered by the Financial Services Compensation Scheme.
Is InvestEngine good for beginners?
InvestEngine is great for beginners! Self-managed portfolios are not recommended for those just starting out, however the app and website are easy to navigate and learn – plus, they offer a professionally managed portfolio for those who are less confident creating their own.
How is InvestEngine free?
InvestEngine is able to be free from platform fees and dealing fees for managed portfolios, as well as platform fees and set-up charges for DIY investors because of the 0.25% annual fee for managed portfolios.
What types of accounts does InvestEngine offer?
InvestEngine provides three account types – GIA, Stocks & Shares ISA and a Business Account – to help you reach your investment goals.