When you invest money, your capital is at risk. Investments can go down as well as up in value, so you could get back less than you put in. A rule of thumb is to hang on to your investments for at least five years to give them the best chance of providing the returns you are hoping for.

Plum vs Nutmeg

Updated On: Jun 05, 2021
Plum vs Nutmeg - Which is better

Below, we compare two of the best investment apps in the UK - Plum and Nutmeg.


Plum automates your investments and allows you to invest via a Stocks and Shares ISA, General Investment Account, or Personal Pension, whereas Nutmeg allows you to invest through a Stocks and Shares ISA, Lifetime ISA, Junior ISA, General Investment Account, or Personal Pension. 


Use the tabs below to learn more about the similarities and differences between Plum and Nutmeg.

Plum LogoNutmeg Logo

Plum - Choose from 12 multi-asset funds

How do I invest with Plum?

Please note: As with all investments, your capital is at risk.

Automatic Investments
When you subscribe to Plum Plus or Plum Pro (from £1 a month), you can choose to invest your money in a variety of funds.

Plum calculates how much you can afford to set aside and invests that amount automatically.

You can choose your investments based on what matters to you. For example, you could choose to invest in emerging markets as well as technology, ethical, American, British or European companies.

The risk level of each portfolio is displayed as a 'chilli emoji' scale and goes up to a maximum of 8 chillies.

Money is invested in funds provided by established fund managers such as Vanguard and Legal & General.

You can invest either through a Stocks and Shares ISA or a General Investment Account (GIA).

The minimum ISA Deposit: is £1.

Click here to learn more about Plum's automatic investments.

Personal Pension (beta)
Plum’s Self-invested Personal Pension (SIPP) allows you to consolidate existing pensions in one place and invest in a choice of risk-managed or diversified global funds.

Plum calculates how much you can afford to set aside and stashes that amount in your pension automatically.

You can invest your pension savings based on your current age and target retirement date.

Click here to learn more about Plum’s Personal Pension.

Plum also offers automatic deposits and automatic utility switching.

What are Plum’s fees?

It's completely free to download the app, set money aside using automatic deposits and Round Ups, withdraw as often as you like, and switch your bills with Plum.


If you're interested in automatic investments or want to earn interest on your savings, Plum Plus or Plum Pro might be for you.

Plum Plus: £1/month (first month free)

Plum Pro: £2.99/month (first month free)

ISA Charges
Subscription Fee:
£1 per month (first month free)‍
Annual Investment Cost: 0.48% (average)
‍Trading Fee: £0‍
Exit Fee: £0

Personal Pension Charges
Subscription Fee:
£0 (you do not need to subscribe to Plum Plus or Plum Pro to use the pension product)
Product Provider Fee:
0.45% per year
Fund Management Fee: 0.25% per year (average)

Are Plum’s fees high?

Plum falls into the low to mid-price range category. Use our robo advisor charges comparison table to understand how Plum compares to other robo advisors in the UK.

Is Plum good for beginners?

Plum is beginner-friendly. The service is designed to simplify personal finance and investing for the average person by automating and managing your investments for you. 

You can also use the Plum app, which is available on iOS and Android, to monitor your investment performance.

Is Plum a passive investment?

Yes. Funds like Best of British and American Dream track a market index.

Is Plum safe?

Your money is protected by the Financial Services Compensation Scheme (FSCS) up to a maximum of £85,000. This means you can get your money back if Plum were to go bust. Note that the FSCS does not cover losses arising from the performance of any of your investments.

Is Plum regulated by the FCA?

Yes, to carry out payment services activities. Have a look at their regulatory permissions on the FCA Register.

Does Plum have a referral scheme?

Yes. Earn £15 for every three successful referrals. Download the app and use the 'invite' tab in the Plum app to share your referral code.

How do I open an account with Plum?

Visit Plum's website here.

Nutmeg - Choose from four investment styles

How do I invest with Nutmeg?

With Nutmeg, you can invest through one or more of the following products - Stocks and Shares ISA, Lifetime ISA, Junior ISA, General Investment Account, and Pension. 

Once you decide what product you want to go with, you need to pick an investment portfolio. Here's a breakdown of how they work:

Fixed Allocation Portfolio (Cheapest): This is a passively managed investment portfolio. It keeps you invested in assets that match your risk level, and Nutmeg only reviews those assets once a year to make sure they're still right for you.

Fully Managed Portfolio: This is an actively managed portfolio. An active portfolio means Nutmeg will regularly make strategic adjustments to try and protect against losses and boost returns. Active portfolios are usually more expensive than passive portfolios.

Smart Alpha Portfolio: This portfolio is actively managed by J.P. Morgan Asset Management.

Socially Responsible Portfolio: Also an actively managed portfolio, the investments here are tilted towards companies and bond issuers with high environmental, social and governance (ESG) standards.

Click here to learn more about Nutmeg’s portfolios.

What are Nutmeg's fees? 

It's completely free to download the app. Then depending on how you choose to invest, the fees are as follows:

To make sense of the charges, use our robo advisor charges comparison table.

Fixed Allocation Portfolio (Cheapest):‍

  • Platform Fee: 0.45% per year (up to £100,000); 0.25% (£100,000+)
  • Fund Cost: 0.19% (avg.)
  • Market Spread: 0.05% (avg.)

Fully Managed Portfolio:‍

  • Platform Fee: 0.75% per year (up to £100,000); 0.35% (£100,000+)
  • Fund Cost: 0.19% (avg.)
  • Market Spread: 0.05% (avg.)

Smart Alpha Portfolio:‍

  • Platform Fee: 0.75% per year (up to £100,000); 0.35% (£100,000+)
  • Fund Cost: 0.14% (avg.)
  • Market Spread: 0.05% (avg.)

Socially Responsible Portfolio:‍

  • Platform Fee: 0.75% per year (up to £100,000); 0.35% (£100,000+)
  • Fund Cost: 0.32% (avg.)
  • Market Spread: 0.05% (avg.)

Are Nutmeg’s fees high?

Nutmeg's Fixed Allocation Portfolio is the cheapest of the four portfolios. Use our robo advisor charges comparison table to get a sense of how Nutmeg's Fixed Allocation Portfolio compares to other robo advisors in the UK.

Is Nutmeg good for beginners?

Nutmeg is beginner-friendly. The website is clear and concise, and they have an easy to use app which you can download on iOS or Android.

The app allows you to make ad hoc investments or regular payments via direct debits. You can also monitor the performance of your investment and make changes to them when it suits you via the app.

Is Nutmeg a passive investment?

Nutmeg's Fixed Allocation Portfolio adopts a passive investment strategy.

Is Nutmeg safe?

When you invest with Nutmeg, your money is protected by the Financial Services Compensation Scheme (FSCS) up to a maximum of £85,000. This means you can get your money back if Nutmeg were to go bust. Note that the FSCS does not cover losses arising from the performance of any of your investments.

Is Nutmeg regulated by the FCA?

Yes, Nutmeg is authorised and regulated by the Financial Conduct Authority (FCA). Have a look at their permissions on the FCA Register.

Does Nutmeg have a referral scheme?

Yes. If you refer friends to Nutmeg, when they invest, they will pay no Nutmeg management fees for six months. Nutmeg will also reward you with a choice of gift vouchers worth £50 - £100. You can choose from Amazon.co.uk, John Lewis and Partners, Prepaid Mastercard, Currys PC World and Deliveroo.

How do I open an account with Nutmeg?

Visit Nutmeg’s website here.

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