InvestEngine Review

What is InvestEngine?

InvestEngine is a UK low-cost investment platform providing a choice of managed portfolios tailored to you and commission-free DIY investing to help you build long-term wealth.

Users can invest in over 250 exchange-traded funds (ETFs) from iShares, Vanguard and other leading brands.

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InvestEngine stands out amongst its competitors as one of the cheapest investment platforms in the UK, with zero platform or management fees for the DIY Portfolio and just 0.25% a year for the Managed Portfolio.

To see how InvestEngine’s fees stack up against other investment platforms and robo advisors, click here to access our investment platform comparison tool and here to access our robo advisor comparison tool.

With InvestEngine, you can invest through a Stocks and Shares ISA, Personal Account or Business Account. 

Please keep in mind that your capital is at risk.

How does InvestEngine work? 

With InvestEngine, you can invest in two ways depending on your investing savviness: Beginner investors or those who prefer to choose a ready-made investment portfolio can select from one of the Managed Portfolios on offer where the team of experts at InvestEngine will take care of the day-to-day investment decisions for you. These portfolios attract a platform fee of 0.25% per year.

Advanced or more confident investors can choose from 250+ commission-free ETFs and build their portfolios themselves. With the DIY Portfolio, there are no platform fees. All InvestEngine portfolios are free of setup fees, dealing fees, ISA fees or withdrawal fees.

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Here’s a detailed breakdown of how the two portfolios work:

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DIY Portfolios

• With InvestEngine’s DIY portfolio, you’re in control of choosing your investments and fine-tuning your investment strategy.
• You can choose from a range of handpicked ETFs, refine your allocations and invest commission-free.  
• InvestEngine allows you to personalise your investment strategy by setting the target weights for each ETF in your portfolio. You can also set new weights as your investment strategy and market view change.
• InvestEngine’s automation tool saves you the hassle of rebalancing and topping up your portfolio by automatically calculating and conducting trades on your behalf, based on your target weights - all commission-free.
• The InvestEngine DIY portfolio is particularly appealing for both experienced and beginner investors due to the absence of dealing fees, account fees or set up fees. This makes it a cheaper alternative to other UK-based platforms and a great option for those just starting out in their investing journeys.‍

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Managed Portfolios

• InvestEngine’s Managed Portfolio gives you a managed, globally diversified investment portfolio that seeks to maximise returns based on your risk preferences. To get started, you’ll be asked to complete a short questionnaire specifying your investment aims, how much you’re looking to invest, and the amount of risk you’re comfortable with. InvestEngine will then suggest the right portfolio to you, based on your preferred level of risk.
• You can choose from either a Growth Portfolio that aims to help reinvest your dividends or an Income Portfolio that seeks to provide a regular income depending on the dividends received from the ETFs in their portfolios.

Visit InvestEngine to learn more.

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How do I invest with InvestEngine?

With InvestEngine, you can invest through a Stocks and Shares ISA, Personal Account or Business Account. 

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You’ll have the option to invest using a DIY Portfolio, Managed Income Portfolio, or Managed Growth Portfolio. InvestEngine will ask you questions as part of the sign-up process to gauge your investment goals and risk preferences and will then match one of these portfolios to you.

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Once you have funded your account, you can choose from over 250 ETFs. Please note that InvestEngine has a minimum investment amount of £100.

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Visit InvestEngine to learn more.

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InvestEngine Key Features

• ISA and General Investment Account - InvestEngine users can open a tax-free Stocks and Shares ISA and General Investment Account. At present, InvestEngine has no pension option available.
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• Business Account - Business owners can open an InvestEngine's Business Account to get the most out of cash held within their companies.
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• Free DIY Investing - InvestEngine's DIY Portfolio doesn't charge any dealing fees, account fees or set up fees, whilst its managed portfolio charges a platform fee of just 0.25%.
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• Managed Growth and Income Portfolios - InvestEngine offers 10 Growth Portfolios and 3 Income Portfolios. If you select the Income Portfolio option, you'll be paid income directly into your bank account at no extra cost.
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• Over 250 ETFs - You can choose from over 250 ETFs, including exchange-traded commodities or ETCs that cover a wide variety of stock markets. InvestEngine ETFs also include ESG (Environmental, Social and Governance) and thematic ETFs.
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• Mobile App - You can access the InvestEngine platform via its mobile app. Click here to download it.
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• Minimum Investment Amount - £100

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What are InvestEngine’s fees?

It's completely free to download the InvestEngine app. There are no setup fees, dealing fees, ISA fees or withdrawal fees, but do keep in mind that InvestEngine requires a minimum investment amount of £100 to get started.

DIY Portfolios: Free

Managed Portfolios (Platform Fee): 0.25% per year

ETF Charge (Fund Management Fee): Around 0.25% per year for income portfolios and 0.15% per year for growth portfolios

Market Spread: Around 0.07% per year for both income and growth portfolios

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How does InvestEngine make money?

InvestEngine makes money through the 0.25% per annum fee charged on its managed portfolios. It also makes money from the market spread that comes about when you trade ETFs. There are no dealing fees or platform fees on DIY portfolios, which firmly places InvestEngine's DIY service amongst the cheapest in the UK.

Is InvestEngine good for beginners?

InvestEngine is beginner-friendly. If you are a less experienced investor and want a simple, hands-off approach, an InvestEngine Managed Portfolio will build and manage a portfolio on your behalf, selecting the ETFs, position sizing and allocation for you. Their DIY Portfolios also encourage investors to take a considered, diversified, and long-term approach to investing, which should suit beginners. 

InvestEngine's affordable fees also make it a great option for beginners. DIY portfolios are free to use, and from just £100, you can open up an account and begin investing in your preferred style. You can also top up your account with small one-off amounts, with the minimum using instant bank transfer at just £1. 

Offering both DIY investing and robo-advice services with low fees, InvestEngine is a great investment platform for beginners. 

To get started, download the InvestEngine app, available on both iOS and Android or simply invest via the web portal.

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Is InvestEngine a passive investment?

The Managed Portfolios are passive investments while some of the DIY ETFs are not.

Is InvestEngine expensive?

InvestEngine falls into the low-price-range category and is considered one of the cheapest investment platforms in the UK. For InvestEngine's Managed Portfolios, there is a management fee of just 0.25% per year. You also pay an ETF charge of between 0.15% and 0.25% per year. 

Use our Robo Advisor Charges and investment platform comparison tool to understand how InvestEngine compares to other platforms in the UK.

If you go for the commission-free DIY Portfolio service, you won’t be charged any platform or dealing fees, which makes InvestEngine stand out as a cheaper option against other UK competitors.

Is InvestEngine safe?

When you invest with InvestEngine, 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 InvestEngine were to go bust. Keep in mind that the FSCS does not cover losses arising from the performance of any of your investments.

Is InvestEngine regulated by the FCA?

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

Does InvestEngine have a referral scheme?

Yes. InvestEngine will provide a referral reward of £25 for both you and your referee if you've already invested £100 of your own money in an InvestEngine portfolio. Visit InvestEngine to learn more. Terms and conditions apply.

Does InvestEngine have a welcome bonus?

Yes, InvestEngine offers a £25 welcome bonus to new customers who invest at least £100. Terms apply.

How do I open an account with InvestEngine?

Visit InvestEngine’s website.