I’m Laurie, the Product Manager for Monzo Investments
When we launched Investments, many of you told us that fees on larger balances were a key frustration. We’ve been listening closely, and today we’re excited to share a change designed with your feedback in mind.
What’s changing?
From today, we’re introducing a cap on platform fees for Monzo Investments and Monzo Pension.
You’ll continue to pay 0.45% in yearly platform fees (or 0.35% with Monzo Perks or Max), plus ongoing management fees that depend on what you invest in.
But once your combined Investments and Pension balance passes £60,000, you won’t pay any yearly platform fees on the amount above that.
That means your maximum yearly platform fee is capped at £270 (or £210 with Perks or Max).
No minimum account fees, no dealing fees, no admin fees – what you see is what you pay.
What this means for you
If you’re just starting out with a smaller portfolio, you’re still getting one of the best-value ways to start investing (based on platform fees and balances of £10k or less).
If you’ve already built up more than £60,000 across your investments and/or pension, this change means you’ll pay less in fees and keep more of your money working for you.
You can see a full breakdown of fees for each investment in the app. Fees accrue daily, and are charged monthly.
This change came directly from customer feedback, and we’ll keep evolving Monzo Investments and Pension with your ideas in mind. Thanks as always for being part of the journey
The value of your investment can go up and down and you could get back less than you put in.
More choice would be nice! The 3 funds are great for what they are but I personally am not a huge fan of lifestyle plans - I just want a ftse and/or msci global tracker that I can fire and forget every month.
This is great as the fees honestly put me off. That and I just don’t feel like it’s worth the minor amount of money I can get back with what I can actually save these days
If your combined investments and pension balance goes over £100,000, you won’t pay any platform fees on the amount above that.
As before, you’ll also pay fees to the fund manager that depend on what you invest in. Fees accrue daily, and are charged monthly. You can see a full breakdown of fees for each investment in the app or on our website.
This change means:
Better value whether you’re just getting started or already well on your way
Clear, predictable fees as your money grows
More of your money staying invested and working for you
A quick recap of what hasn’t changed
No minimum account fees
No trading or dealing fees
No hidden charges
As ever, we’d love to hear what you think below
The value of your pension and investments could go up or down and you could get back less than you put in.
It’s an improvement, still not enough for me to use either though with the likes of Freetrade, T212, Lightyear and even Revolut offering 0% platform fees.
Would have been more competitive if you’d kept the capped balance at £60k instead of increasing it to £100k
@bukisule Pleased with this, and good to see fees going in the right direction.
Do you have any idea when we can move a Cash ISA with another bank → Monzo S&S ISA? It says coming soon in the app, but it has said this for almost a year now.
Hopefully more improvements to Invest coming in the near future?
Sadly, for this to even start to be competitive there needs to be zero Monzo fees if you’re already paying for a paid account.
(The more I think about it, the more I’m convinced that we need a First Direct to Monzo’s HSBC or something like HSBC Premier that’s aimed more at the mass affluent with products to suit).
Been #fullmonzo for 2 years (either Personal or Joint account) on a paid (Personal) account? You get a Monzo Select* account.
You still pay the monthly but get zero fees on investments, more interest on savings and better perks, like metal card and no-minimum Flex spending with 3-month interest free terms.
If you haven’t already, check out Monzo Investments in your app
